I also wondered about reverse engineering of DNA, but if we don't know the actual genetic sequences of dinos, then we wouldn't know what to engineer towards. I think birds probably have a very high percentage of the same DNA as dino's. Don't forget some dino's had feathers.
Now, in geology, many things about earth's history are sleuthed out by combining many different clues from many different processes. For example, you can look at something as apparently uncomplicated as a slide of sandstone under a microscope, and determine where the grains came from, what the are made of, how far they traveled, how old they are, what amount of stress they were subjected to which direction that stress came from, maybe the nature of that stress, what sort of chemical change they were subjected to, and possibly many other things, depending on what you are looking at. This is JUST by looking at the slide under a geological microscope. It is a complicated science which combines many disciplines and uses sound logic to apply the clues and arrive at conclusions. This is used to work out the age of the earth, what is inside it, and stuff like reconstructing the tectonic history of the planet.
Think about it. How could they know what temp the earth used to be, where the continents used to be located, etc.
So why did I bring this up? Well, I have always wondered about the 'junk' DNA, which apparently they recently began to see is maybe not so junky after all. I have long wondered whether the 'history' of the DNA was somehow embedded in the DNA itself. This is of course wild speculation, but imagine the following:
You have species "A", which evolved from species "B" which evolved from species "C". You could reconstruct the anatomy of the extinct species, and probably get it quite correct, using just the bones, and the geological clues about the environment it lived in, and the well studied and hopefully well understood principles of anatomy of extant similar species. Believe it or not, a single tooth from an animal gives an incredible amount of info about it's overall anatomy and lifestyle. Then you could 'undo' the genetic changes required to get from phenotype "A" to phenotype "B". If it used to be taller, then if we understand what 'tall' genes look like as compared to the 'short' genes, then that part of the genome could be rewound. Feature by feature, we could eventually learn how to go backwards. There may be some as yet undiscovered processes that dictate how the changes take place. In physics, understanding gravitational acceleration, Newton's laws of motion, heat transference etc, can go a very long way in helping to work out things that happened a long time ago eg Big Bang.
Maybe genetics has similar mechanisms that are predictable and reliable. Maybe combining them with all of the other clues geology gives us, can allow us to figure it out?
But I have watched enough Sci Fi to also question that it would be a good idea. My biggest concern would be triggering some sort of 'runaway' evolution, especially where microbes are concerned. We could theoretically start something quite nasty.