Jeff Jacoby and I disagree on 99% of most issues, but I agree with him concerning voting in local elections and obtaining driver's licenses. What better way to find out who is where than having to supply an address to participate in local elections? What better incentive to become a citizen than to participate in the electoral process and have a stake in representation? Imagine being able to change your public behavior from hiding to visibility?
Consider the number of non-citizens who drive without licenses just because they aren't citizens. These people often drive without insurance, which makes them particularly vulnerable in case of accidents. They often fear reporting them, and their lack of insurance harms the other party. Car owners who want driver's licenses must register their cars, pay taxes, take a driving test, and purchase insurance, thus contributing to the local economy and public safety.
While applying for a license, people could be encouraged to enroll in other services such as English language classes, assistance with obtaining legal status, and even school for their children. (Sadly, I've encountered children who don't attend school because their parents are afraid to enroll them and reveal being undocumented.)
One caveat might be that once you can be identified by name, address, and license number, that it's easier to be identified by federal authorities and targeted for deportation. There would need to be a safeguard between gaining access to local benefits and making one's self vulnerable to persecution/ prosecution from the federal government. Too many Americans, I think, look upon this issue, as they do with so many, as "giving people something they don't 'deserve,'" rather than looking at the greater good it would provide.