The newest version, Churchill, has known issues and is on hold, ai update works on either. Use Barbarossa version.
I just found the event that adds militia and other units, the great patriotic war, and the units are added with a -0.1 cost, so nothing strange there. What is interesting is that if start a game with a land fort in the queue with 0.1 cost, and play that country, the cost is 5. What it is supposed to be. So you can't force low cost units. At least that is what i have seen.
I have edited that event and will add to next update. I will have to verify what i said above but i changed the cost to 1 for every unit listed in the event. It is an AI only part of the event, human players won't get it so i will have to play as Germ and see what happens.
Cheers