Can a government worker demand only one form of I.D.? (U.S. law, details inside.)

Is it legal for a county or state worker in a government office (say, the county courthouse or sheriff’s office) to refuse out-of-state identification AND federal identification (passport)?

I was refused a service that this office provides, because I do not have an in-state driver’s license or ID card. I offered an out of state license, and also my passport.

Am I misunderstanding federalism or something? Was that woman just getting off on being withholding?