If Palpatine absolutely had to be tied into the prequel trilogy and Kylo had to be redeemed, here's what I would have done.
1) Skip further than a year. Make it 5 years or so. Kylo has built up his force of dark side users to buff up his army. Show him as still chaotic but functional as a mentor/teacher. Rey has tried a group of force users for the resistance. Leia helped in the beginning but passed away during the time skip. Hux as a high ranking military officer knew of truths about the First Order that only Snoke and other similarly ranked officers knew Palpatine was alive. The high ranking officers had guesses that Palpatine was in some way responsible. During the time skip, Palpatine reaches our to the high ranking officers to send resources to build up a secret group of loyalists to him.
2) midway through the movie, we have a big fight with the order winning. Palpatine makes his reveal to Kylo and Rey as the force users are battling. The resistance retreats since they only sent a small fleet. As the resistance is fleeing, Palpatine orders the First Order military to fire on Kylo and his group. Rey senses Kylo is in trouble and goes to aid him even though an enemy. Kylo is the sole survivor of dark side users and badly wounded. They retreat.
3) Ahead of the climax, it's revealed Lando had been on a mission to bolster resistance forces further. While they had gotten more resources in the time skip, it was enough for a revived Imperial fleet. In the mean time, Rey and Kylo are healing from the battle and Kylo trains with Rey and her students. Rey and Kylo realize they still have their force bond and their powers are amplified by that bond.
4) final battle. The Resistiance fleet takes the imperial military. Rey, Kylo, and Rey's students take on the Knights of Ren and Palpatine. Rey and Kylo are winning against the emperor. KoR have been defeated. As a last ditch effort to distract Kylo and Rey, Palpatine attacks Rey's students who are suddenly protected by Kylo. Rey and Kylo's force bond power activates. while Kylo still suffered wounds, he takes the electricity that damaged him and being amplified by Rey and Kylo's bond it does enough to destroy the emperor once and for all. Rey and Kylo do not win via saber or offensive force powers, they win through Kylo's sacrifice. Kylo dies. He wonders how things would have turned out if he joined Rey in the Last Jedi. He regrets killing his father, and he regrets turning on his master. Rey says she'll take on the name Skywalker to honor their former master. The end.
you get all the fan service without trashing the Skywalker line. You get Palpatine without McGuffins. You get Dyad powers. You get Kylo's redemption. You get a new generation of force users. And if you really want to tie it up nicely, you can have Finn ask Rey to train him at the end.
