I agree, Lost Island HM is hard enough that you need Columi/Rakata gear to complete it, just to receive some crappy gear you already have as a reward. There are much easier (and more fun) ways to earn BH commendations so thats not enough either. I would suggest dropping in some Rakata pieces in the harder bosses or a random Rakata piece at the end.
I'm sure this won't convince you, but having finished LI on my main several times, I've since leveled a new toon to 50, and brought it in to Lost Island with my guildmates. We averaged about 1/2 Columi for each player and one person had Rakata Ear / Implants.
We finished the flashpoint just fine, because we knew the fights. And about half of the gear that was dropped was a direct upgrade for party members and we were happy to get it.
Now, early on I have failed this flashpoint several times in a row with a group of super-geared players because we were clumsy and didn't know what to do. In RPGs (not just MMOs) if you're having troubles with content you can always over-level or over-gear yourself. I've done that many times myself.
BUT, this flashpoint is an example whereby you can, by skill and tactics, beat the content without being over-geared.