I've heard this too. It happened to me at a motel in Seymour when I had an Ava zip code on my license. I booked online on a travel site the day before but when I showed my ID to check in they refused me just stating my zip code over and over.

On the other hand, I was homeless and had covid and checked myself into Welcome Inn one month in 2020 and they didn't bat an eye (same place that was accepting homeless vouchers, although I didn't have one at the time)