mine does. gotta make sure you're set to sync your picasa to your gallery. In other words, if you post something on picasa, do you see it in your gallery? The 3D gallery has this capability, but it's very touchy.
If you made your picasa account after you set up your google account on your phone, you're going to have a hard time. The most immediate way is to wipe and restore, then you should be able to sync with picasa.
You may also try uninstalling and reinstalling the gallery, or trying quikpik to see if that works.
I tried a lot of things, and it never worked, then one day I opened up my gallery it started syncing, and then I just had it from there on out. I read a lot of forums, and it's a common issue.
You may be better off looking somewhere else other then here, as this isn't an issue with liberty.
