Foam board on the outside is best so that a moving snake does no damage. For a thermometer/hydrometer I would suggest going to Wal-Mart and getting and indoor/outdoor thermometer combo for like $15. Check here for a thermostat. I just use the $30 one and find it accurate to within 2* F.
If your cold side is getting too cold you could try a two thermostat set up with some 4" flexwatt on the cool side.
Bloodsong