This isn't the only way the public loses land. Often the Forest Service will trade off a chunk of public land to a developer. This happened in my native CO earlier this year. Feds traded for a smaller parcel so a developer could have the bigger chunk to cover with concrete and houses. Doesn't make much sense.
Top is correct by the way that the states do not have the resources to take care of the huge amounts of land the Feds control. If the states do get ahold of it, there will be nothing to prevent them from selling it off to the highest bidder. As it is now, anyone in the nation can use the land. I don't want to see the West become privately held with little public land to hunt and fish on.