The facial recognition part of DL's system will require a passport.

However, how many people traveling domestic carry their passport book if they even have one? I do and I suspect the same is more likely to be true for elites, but many USA citizens don't even have a valid passport, although it wouldn't surprise me if the percentage were slightly higher in MN.

For international trips, most people need to show the passport to a DL agent, so I don't see how this will save passenger time, as opposed to DL staff time.