It's even worse: it means that the government will be able to identify anyone whose face is visible in surveillance camera footage or any other photograph (e.g., a photo posted on Facebook). They'll be able to easily make a list of everyone who attended a protest, or a political rally for the opposition party.
It'll take a fundamental, across the political spectrum, shift in the attitude of Americans just to stop it (much less turn it back). It's not going to happen, whatever control Americans had over their government is long gone. Now it's just a matter of buying time (defeat this legislation, new attempts get stuffed into legislation next quarter or next year).
And you're right. Most aren't paying attention.