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The EPCS4 is very expensive.
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The EPCS device is simply a re-branded SPI flash. You can use devices from Numonyx and Spansion in place of the EPCS devices. Search the archives for other threads.
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Is it feasible to read bytes from the EEPROM and use another pin from the microcontroller to produce the data[0] bitstream? (Other microcontroller pins would produce/read the other necessary signals)
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Yes. Its a pretty standard method of configuring an FPGA. Here's some notes on how to do it with another FPGA or CPLD
http://www.ovro.caltech.edu/~dwh/carma_board/fpga_configuration.pdf But bit-banging with a microcontroller, or wiring the SPI port to the FPGA could be used to achieve the same thing.
Cheers,
Dave