The story is somewhere between extremely misleading and a flat out lie. Easterners don't even comprehend the situation, which is why these pressure groups get away with this kind of propaganda.
The National Forests aren't going anywhere. The fact is, the federal government owns more than half of the land in the west. Almost all
of some states. Random incompetent bureaucrats can and do throw whole regions into depression on the basis of urban legends and management fads. They don't pay taxes. They keep whole regions in poverty. That's behind the resentment in all western states. The federal holdings could easily shrink a bit - or even a lot - without making any difference to the nation's forests.
All of the National Forests and other management units engage in real estate activity. Sometimes they are trying to consolidate their holdings. Sometimes they gain control over random bits of land through historical accidents, donations, and bits that "just come along with the deal." So-called "environmental groups" have been buying up ranches, farms, and private timber lands, splitting off a few "country estates" for the McMansion crowd, and reselling the rest to the National Forests at a guaranteed profit. But the National Forests have no business holding farms and ranches and lots in town. That land should be sold and returned to the tax base. That's what the current bill is about.