While it wasn't a perfect situation, when I was hired at ABX they didn't pay for my room or a place to stay during training either. Although times were different and ILN was the pilot base as well as the company headquarters (where training is held). I and others went thru many 'crashpads' over the years....which I do not think are around any longer.
Since CVG is now the only pilot base, I do not know what/how they plan on handling new hires. As mentioned, it sounds like they expect you to pay for your own lodging/whatever during training. I do wonder if they are planning on paying a 'moving expense' after training to CVG. The company had to absorb those expenses for recalled pilots, but their situation is different.
I can understand if someone turned the job away because of this expense. I wouldn't expect the union to chime in much since the CBA doesn't address this and it's difficult at best to represent new-hires in this regard.
Good luck with your decision.