I think some folks got tired of me going on and on about upgrading IMS CC from v1.1 to 1.3 long ago, but you are right. Without 1.2 support there are no assignments in the package and some other limitations in content packaging. Some folks I know just use mbzs and the built in tools in other platforms to convert them (the upside of using an open source platform I suppose.) Other folks use LTI to share content, since LTI Publishing is possible it is a nice way to share content and resources without copying them and sending them off into the world to an unknown fate.
Of course updating the CC converter would be great too. I'll suggest heading on over to the MUA and joining and voting for the IMS CC upgrade project, since Core's objection is funding, the MUA might be the best way to get that funded.