Nope. Air and sea travel ending PRIOR to December 31, 2006 needs the normal birth certificate and driver's license. AFTER December 31, 2006, air and sea travel WILL require a PASSPORT or other secure proof of citizenship (to be determined...not necessarily birth certificate) to re-enter the US. These regulations will not be in effect for land crossings until December 31, 2007.
As long as your buddy has his birth certificate and driver's license, you're fine.