Are you sure it's no longer being made? I know it's hard to find in some areas, apparently because it can be used in making methamphetamine. The last I checked, in Rhode Island and Massachusetts most grocery and hardware stores don't carry it, but a few did. Meth is more of a problem west of the Mississippi River than east of it, so I can certainly believe that you'd have problems finding pure lye in stores in Iowa.
If you can't find Red Devil lye, you could try mail ordering.
The Chemistry Store has sodium hydroxide for $10.00 for a 2-pound order and potassium hydroxide for the same price. If I'm reading their Web site correctly, hazmat charges only apply if you order 25 pounds or more, although you do have to fill out a special form to order these products. Note that TCS tacks on a per-order handling fee, which raises the shipping costs; it's best to wait and buy as much from them as you think you might need.
Summer Bee Meadow has sodium hydroxide for $8.99 for 35 ounces (2.19 pounds) and potassium hydroxide for $9.89 for 2 pounds. Like TCS, they require you to submit a form before ordering, but I don't believe there are hazmat fees per se. (They simply won't ship large quantities of these products in a single order.) They also sell protective gear -- gloves and goggles. If you don't already have them, you might as well buy them with your hydroxide. I bought some potassium hydroxide from SBM a while ago. As I recall, the form is basically a CYA waiver sort of thing, saying you're over 18, you know the stuff is potentially dangerous, and you accept responsibility for its proper use. IIRC, I was able to submit it as a Web form, so it's not a big hassle.
FWIW, both TCS and SBM cater mostly to hobbyist soap makers, although TCS has a wider range of chemistry. I've bought from both in the past, although I've not bought hydroxides from TCS.
