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Hello,
Since the 1.6.1130 update, the settings menu has been removed in order for Bethesda to verify their game.
Here is a solution: I have made some adjustments to improve performance. I have disabled edge smoothing (TAA), reduced the shadow distance, and disabled a few other effects. To implement these changes, you need to access the desktop mode of your Steam Deck and follow the path from the zip file. Delete your old Prefs & Skyrim INI files and replace them with the new ones found inside the "settings.zip" file on this modpage.
Before replacing the INI files, please ensure that you have installed the AE DLC's (the ones included in the AE version).
Enjoy smoother gameplay on your Steam Deck! If you have any recommendations for changes in the INI File, feel free to let me know and I may update it accordingly.
INI location:
/home/deck/.steam/steam/steamapps/compatdata/489830/pfx/drive_c/users/steamuser/Documents/My Games/