You might want to do some research because federal owns more than just land in DC.
https://ballotpedia.org/Federal_land_ownership_by_state#:~:text=The%20federal%20government%20owns%20around,are%20in%2012%20Western%20states.
There are far less regulations for digging, fracking, etc on land not owned by the state or federal government.
Now, trying to undo what conservative Republicans did in the early 20th century, trying to conserve natural land and resources might be an uphill battle, sure, that would be as you say… mental. But it appears contemporary conservatives nowadays care very little about conserving natural lands; and when Republicans eventually regain both the house and senate (and they will), while there will still be all kinds of legal red tape, I’m sure the federal government can at least concede the lands to the state.
You can call me crazy all you like but feel free to correct me where I am wrong.