The FAA very clearly has jurisdiction to “all navigable airspace” which is broadly defined as “all airspace immediately above ground level”.
Which is to say, there’s no minimum height threshold under which you could fly a drone (outdoors) where the FAA doesn’t have full legal jurisdiction.
You can say you feel it’s overreach, but it’s well established that the courts do not agree.
Having said all of that, I definitely agree that the states have been doing a pretty shit job of asserting their rights across the board.
Of course it isn’t just individual states. Congress as a whole has been happily ceding power to the executive branch for a few decades now - which is largely how we’ve gotten to this point.