It is a very very good idea. You can read more about it here: https://www.nbcnews.com/politics/2020-election/buttigieg-s-big-accomplishment-he-never-mentions-campaign-trail-n1015251

Wanting to coax the small city's approximately 4,500 undocumented immigrants out of the shadows to help them access services, Buttigieg toyed with the idea of some type of municipal identification card for those who couldn't obtain driver's licenses or other government ID's.

The result was an innovative, first-of-its-kind governmentally endorsed, privately run program...

(...)

Working closely with La Casa de Amistad, South Bend's main Latino outreach center, Buttigieg and the nonprofit's executive director, Sam Centellas, imagined a "Community Resident Card" program in which the IDs would be paid for, created and distributed by the group — a private organization — not the city.

Buttigieg's part to make it all work was to sign an executive order requiring local services and institutions — like law enforcement, schools, the water utility and libraries — to accept the card as a valid form of identification. The city also enlisted local businesses, such as financial institutions and drugstores, so cardholders could open bank accounts and pick up prescriptions.

As a result, undocumented immigrants in South Bend are now able to partake in many routine aspects of daily life. And they can do so without fear that their names or immigration status might end up in the hands of authorities or anti-immigrant groups. That's because La Casa, as a private organization, isn't bound by requests for public records the way the city might be if it were running the program.