Let me double check that you have regular uncompressed FPP working or not.
If working, will it work with the Q10.1 compiled and generated FPGA data?
After Q9.1 the pof file format has changed(format which will be written in to Flash).
If you stick same version as the PFL in MAX2, then it should be fine.
It means, the PFL block in MAX2 and FPGA sof generated Quartus version needs to be same version.
If you use Q10.0 for MAX2, Q10.0 for FPGA, then PFL won't have issue.
If the PFL is not working even for the uncompressed, then you just need to get it work first.
Compressed data will requires x4 of the clock cycle to un-compress.
Compressed data will be about half of its original FPGA data, so it's roughly takes x2 of configuration time compare to un-compressed data configuration.
If you have watchdog timer, you might need to consider about this as well.