disclaimer: I am not a US citizen
What scares me infinitely more than giving my ID to a government institution for obtaining a service (drivers license, Liqour store, etc), is the fact that the public sector will be charged with creating a secure, robust, dependable system. It would seem like an absolute blessing for one with questionable morals to be able to steal identities, obtaining records for advert purposes, etc
I don't think they could do it successfully....