Driver's License Improvement and Security Act of 2004

Driver's License Improvement and Security Act of 2004 - Directs the Secretary of Transportation to carry out a pilot program to assist States in developing and implementing a driver's license and identification card program that meets certain requirements.

Requires a State to: (1) embed computer chips in licenses and cards it issues; (2) obtain biometric data for the identification of individuals to whom the State issues a new or renewed driver's license or identification card; (3) participate in a program to link State motor vehicle databases in order to provide electronic access by a State to information contained in the motor vehicle databases of other States; (4) include on each new or renewed driver's license or identification card multiple tamper-resistant security features or optical image layers, such as biometric scans, barcodes, 3D, flip, or motion imaging; and (5) adopt and implement procedures to document accurately the identity and residence of an individual before issuing him or her a driver's license or identification card.

Authorizes the Secretary to make a grant to assist a State in developing and implementing a driver's license and identification card program that meets the requirements of this Act.

Requires the Director of the National Institute of Standards and Technology to study and report to the Secretary of Transportation on which on-card biometric technology is most effective and usable for the pilot program.