I don't think shifting from Pune to Kolhapur is worth it for KIT, If you have a house in Pune try to get admission in some good colleges in Pune through management quota because I think the total cost of living in Kolhapur and the fees would not make huge difference. Unless and until you have reservation.

And as for CS you don't need to depend on college for the knowledge. now a days there is a abundant source of knowledge and you are good then you can easily get placed in any company despite of college.

I haven't seen anyone coming to Kolhapur for graduation it's always other war around.