SteamOS Mapping Steam Controller to EmuStation/Libretro

[Twitch0815]

Steam Console
RetroPie Version Used: 4.0.6
Built From: Retropie X86 Install on top of Steam OS which is Debian Jessie 8.
USB Devices connected: Steam Controller via dongle
Controller used: Steam Controller
Error messages received:
Emulator: (Name of emulator - if applicable) Libretro emulators
How to replicate the problem:

With help from Exo I have gotten Retropie to install on top of SteamOS

When launching emulation stations
It detects the controller,
You can map dpad up down left right start and select and the button A but mapping anything past that fails
It seems to think that abxy are all the same keyboard function. as if Dpad up Dpad down Dpad Left Dpad right start select and a are the only buttons
that are giving unique keyboard presses. tried mapping another button on the controller like l triggers but gives the same key already being usied message

I have two controllers available and what is nice is the system detects both as available, which is something that does not happen with the third party steam driver.

After trying that at default I install the SteamController driver via retropie setup.
This does not break to my attention the operation of the controller inside of SteamOS though need to test more to be certain thus far I can navigate the menu just fine though.
It does stop the track pad from controlling the mouse inside of desktop mode though.

Now this allows me to map buttons and navigate the emulation station menu, and as you'd probably expect back to only detecting 1 controller.

But I seem to have the same problem when I had just straight Ubuntu installed on the box in that the auto config works fine for something like mupen64plus but for libretro based emulators it does not work.

Here is a pastebin of my MicrosoftX-Box360pad.cfg file in /opt/retropie/configs/all/retroarch-joypads
http://pastebin.com/ehneAnN9

Everything looks right permissions. And honestly this issue was identical in Ubuntu 16.04 on the same steam console I am using.

desktop@steamos:/opt/retropie/configs/all/retroarch-joypads$ lsusb -d 28de:1142
Bus 003 Device 005: ID 28de:1142
Bus 003 Device 002: ID 28de:1142
desktop@steamos:/opt/retropie/configs/all/retroarch-joypads$

and I have confirmed that the controller is enabled in /etc/rc.local

By default this script does nothing.

"/opt/retropie/supplementary/steamcontroller/bin/sc-xbox.py" start

So question one is has anyone been able to run the SteamController in keyboard mode, and successfully map all needed buttons?

And two what special steps do I need to take to get libretro to pick up and detect proper input when the steam controller is running in xbox360 mode?

[Twitch0815]

So I am going to say installing the SteamOS driver is probably a bad idea seems to have broken standard functionality. Specifically after disabling and removing the driver.
Having to rekick now to get it back to normal.