If they are all in the same domain
Rarely the case with SSO
They'd all need to contact some central point to validate these cookies (be it a common database, or via some kind of web RPC system).
That's a common mistake with designing SSO. What good is it to have John log into site A who announces to all the other sites, "Hey everybody, John has logged in", if there is no way to recognize John when he arrives at sites B, C, D, and E. Common database and RPC seems like a good idea but it's a dead end.
you'd need some way of propogating the ID instead of a cookie
Nope. It's easy to set a cookie on domain A for domain B, C, D, and E if the domains all know and trust eachother.
And if they don't trust eachother, then you can simply propagate the ID (and encrypted password) to the other sites in a link (either a web form or a hyperlink).
(e.g. redirect to common logon page, then it redirects back with an authentication ID which the other server then looks up in the common database to check it's valid).
Unnecessarily complicated.