This should have been how it was with the last two updates, they gave players that didn't pay an option to get the new gear and allowed them to stay with the current endgame.
I also think they should have blocked the update from everyone that didn't pay for them, but there's multiple problems with any solution and honestly the new game that TTK gives is so much better then year 1. I really wish this had been how it was when we first got it, but I had fun in year 1 so I really don't care that much.
While it sucks for you, it's not my problem. There's always putting a post in the help and feedback forums, most probably agree with you there. Also there's the option of actually writing a real letter to either Bungie or Activision.