diff --git a/pkgs/by-name/ha/handheld-daemon/package.nix b/pkgs/by-name/ha/handheld-daemon/package.nix
index b99cd1c58147..2fe0c45eca77 100644
--- a/pkgs/by-name/ha/handheld-daemon/package.nix
+++ b/pkgs/by-name/ha/handheld-daemon/package.nix
@@ -1,63 +1,94 @@
 {
-  fetchFromGitHub,
-  hidapi,
-  kmod,
   lib,
-  python3,
-  toybox,
-  lsof
+  python3Packages,
+  fetchFromGitHub,
+
+  # dependencies
+  systemd,
+  hidapi,
+  coreutils,
+  kmod,
+  efibootmgr,
+  dbus,
+  lsof,
 }:
-python3.pkgs.buildPythonApplication rec {
+python3Packages.buildPythonApplication rec {
   pname = "handheld-daemon";
-  version = "3.6.1";
+  version = "3.7.0";
   pyproject = true;
 
   src = fetchFromGitHub {
     owner = "hhd-dev";
     repo = "hhd";
-    rev = "refs/tags/v${version}";
-    hash = "sha256-IdpSRb66G+WzTv/BC29r2OjO1b4VdWbV6OSzOoiFAO0=";
+    tag = "v${version}";
+    hash = "sha256-DkVdYnSEeaNZj76lhdU+9Pl0yzam2A2QGa3aHCmSHEA=";
   };
 
-  propagatedBuildInputs = with python3.pkgs; [
+  # This package relies on several programs expected to be on the user's PATH.
+  # We take a more reproducible approach by patching the absolute path to each of these required
+  # binaries.
+  postPatch = ''
+    substituteInPlace src/hhd/controller/lib/hid.py \
+      --replace-fail "libhidapi" "${lib.getLib hidapi}/lib/libhidapi"
+
+    substituteInPlace src/hhd/controller/lib/hide.py \
+      --replace-fail "/bin/chmod" "${lib.getExe' coreutils "chmod"}" \
+      --replace-fail "udevadm" "${lib.getExe' systemd "udevadm"}"
+
+    substituteInPlace src/hhd/controller/physical/evdev.py \
+      --replace-fail "udevadm" "${lib.getExe' systemd "udevadm"}"
+
+    substituteInPlace src/hhd/controller/physical/imu.py \
+      --replace-fail '"modprobe' '"${lib.getExe' kmod "modprobe"}'
+
+    substituteInPlace src/hhd/plugins/overlay/power.py \
+      --replace-fail '"efibootmgr"' '"${lib.getExe' efibootmgr "id"}"'
+
+    substituteInPlace src/hhd/device/oxp/serial.py \
+      --replace-fail "udevadm" "${lib.getExe' systemd "udevadm"}"
+
+    substituteInPlace src/hhd/plugins/overlay/systemd.py \
+      --replace-fail "dbus-monitor" "${lib.getExe' dbus "dbus-monitor"}" \
+      --replace-fail "systemd-inhibit" "${lib.getExe' systemd "systemd-inhibit"}"
+
+    substituteInPlace src/hhd/plugins/overlay/x11.py \
+      --replace-fail "lsof" "${lib.getExe lsof}"
+
+    substituteInPlace src/hhd/plugins/plugin.py \
+      --replace-fail '"id"' '"${lib.getExe' coreutils "id"}"'
+  '';
+
+  build-system = with python3Packages; [
+    setuptools
+  ];
+
+  dependencies = with python3Packages; [
     evdev
-    hidapi
-    kmod
+    pyserial
     pyyaml
     rich
     setuptools
-    toybox
     xlib
-    pyserial
-    lsof
   ];
 
   # This package doesn't have upstream tests.
   doCheck = false;
 
-  postPatch = ''
-    # handheld-daemon contains a fork of the python module `hid`, so this hook
-    # is borrowed from the `hid` derivation.
-    hidapi=${hidapi}/lib/
-    test -d $hidapi || { echo "ERROR: $hidapi doesn't exist, please update/fix this build expression."; exit 1; }
-    sed -i -e "s|libhidapi|$hidapi/libhidapi|" src/hhd/controller/lib/hid.py
-
-    # The generated udev rules point to /bin/chmod, which does not exist in NixOS
-    chmod=${toybox}/bin/chmod
-    sed -i -e "s|/bin/chmod|$chmod|" src/hhd/controller/lib/hide.py
-  '';
-
   postInstall = ''
     install -Dm644 $src/usr/lib/udev/rules.d/83-hhd.rules -t $out/lib/udev/rules.d/
     install -Dm644 $src/usr/lib/udev/hwdb.d/83-hhd.hwdb -t $out/lib/udev/hwdb.d/
   '';
 
-  meta = with lib; {
+  meta = {
     homepage = "https://github.com/hhd-dev/hhd/";
     description = "Linux support for handheld gaming devices like the Legion Go, ROG Ally, and GPD Win";
-    platforms = platforms.linux;
-    license = licenses.mit;
-    maintainers = with maintainers; [ appsforartists toast ];
+    platforms = lib.platforms.linux;
+    changelog = "https://github.com/hhd-dev/hhd/releases/tag/v${version}";
+    license = lib.licenses.gpl3Only;
+    maintainers = with lib.maintainers; [
+      appsforartists
+      toast
+    ];
     mainProgram = "hhd";
   };
 }