You could try to solve your problem with the K...() functions:
data test;
x = "ŻÓŁĆ";
y = "Ł";
z = kfind(x,y);
t = kcompress(x,y);
w = ktranslate(x,"L",y);
v = tranwrd(x, "ÓŁ", "OL"); /* no-K function! */
put _aLL_;
run;
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