Yep, in 2004 Bush carred Iowa by a whopping 0.67% In 2000, he lost Iowa by 0.31%. It is a very winnable state for McCain if the ethanol issue doesn’t hurt him too much and he gains a few points nationally in the polls. I don’t put much stock in Obama’s ground game in Iowa because the GOP operation (which the RNC runs, not the McCain campaign) is not exactly chopped liver.
I do take Obama's Iowa ground game seriously, but your latter point (re: RNC vs. McCain) is well taken.