Once control is taken back from the feds, much government owned land needs to be sold off to the highest bidder. It's ridiculous that in some western states, the federal government owns half or more of the land. It's mostly closed off from the public, doesn't produce property taxes for the states, isn't producing anything for anybody. It would help with this recession by opening land to productive use and economic activity.
If we could stop deficit spending I would propose using the money raised from land sales to reduce the debt. It's the only real fair way to raise the money wasted. Its also how every other bankrupt entity raises money for debt repayment as well. But we have to stop the overspending first, as we will at some point run out of sellable property.