diff --git a/apps/spruce/cypress/integration/waterfall/menu.ts b/apps/spruce/cypress/integration/waterfall/menu.ts
index 18246f9f76..cbfb13e952 100644
--- a/apps/spruce/cypress/integration/waterfall/menu.ts
+++ b/apps/spruce/cypress/integration/waterfall/menu.ts
@@ -1,5 +1,47 @@
 import { mockErrorResponse } from "../../utils/mockErrorResponse";
 
+describe("Waterfall menu settings", () => {
+  beforeEach(() => {
+    cy.visit("/project/evergreen/waterfall");
+  });
+
+  it("displays Settings section with omit inactive builds option", () => {
+    cy.dataCy("waterfall-menu").click();
+    cy.contains("Settings").should("be.visible");
+    cy.dataCy("omit-inactive-builds-checkbox").should("be.visible");
+  });
+
+  it("toggles the omit inactive builds checkbox and persists the setting", () => {
+    cy.dataCy("waterfall-menu").click();
+    cy.dataCy("omit-inactive-builds-checkbox").should("not.be.checked");
+    cy.dataCy("omit-inactive-builds-checkbox").check({ force: true });
+    cy.dataCy("omit-inactive-builds-checkbox").should("be.checked");
+
+    cy.reload();
+    cy.dataCy("waterfall-menu").click();
+    cy.dataCy("omit-inactive-builds-checkbox").should("be.checked");
+
+    cy.dataCy("omit-inactive-builds-checkbox").uncheck({ force: true });
+  });
+
+  it("omits inactive build variants when filter is applied and setting is enabled", () => {
+    cy.dataCy("build-variant-filter-input").type("Lint{enter}");
+    cy.dataCy("build-variant-label").should("have.length", 1);
+
+    cy.dataCy("waterfall-menu").click();
+    cy.dataCy("omit-inactive-builds-checkbox").check({ force: true });
+    cy.get("body").click();
+
+    cy.dataCy("build-variant-filter-input").clear();
+    cy.dataCy("build-variant-filter-input").type("Ubuntu{enter}");
+
+    cy.dataCy("build-variant-label").should("have.length.at.least", 1);
+
+    cy.dataCy("waterfall-menu").click();
+    cy.dataCy("omit-inactive-builds-checkbox").uncheck({ force: true });
+  });
+});
+
 describe("Waterfall subscription modal", () => {
   const route = "/project/spruce/waterfall";
   const type = "project";
diff --git a/apps/spruce/src/analytics/waterfall/useWaterfallAnalytics.ts b/apps/spruce/src/analytics/waterfall/useWaterfallAnalytics.ts
index 0d40cba1a3..029744efdf 100644
--- a/apps/spruce/src/analytics/waterfall/useWaterfallAnalytics.ts
+++ b/apps/spruce/src/analytics/waterfall/useWaterfallAnalytics.ts
@@ -39,7 +39,8 @@ type Action =
       name: "Viewed waterfall modal";
       navigated_to_waterfall: boolean;
     }
-  | { name: "Redirected to waterfall page"; referrer: string };
+  | { name: "Redirected to waterfall page"; referrer: string }
+  | { name: "Toggled omit inactive builds"; enabled: boolean };
 
 export const useWaterfallAnalytics = () => {
   const { [slugs.projectIdentifier]: projectIdentifier } = useParams();
diff --git a/apps/spruce/src/components/ButtonDropdown.tsx b/apps/spruce/src/components/ButtonDropdown.tsx
index cfd744b0b4..3eb8cc784a 100644
--- a/apps/spruce/src/components/ButtonDropdown.tsx
+++ b/apps/spruce/src/components/ButtonDropdown.tsx
@@ -1,19 +1,19 @@
 import { Size as ButtonSize } from "@leafygreen-ui/button";
 import { Icon } from "@leafygreen-ui/icon";
-import { Menu, MenuItem } from "@leafygreen-ui/menu";
+import { Menu, MenuItem, MenuProps } from "@leafygreen-ui/menu";
 import { LoadingButton } from "components/Buttons";
 
-interface Props {
+type Props = {
+  children?: React.ReactNode;
   disabled?: boolean;
+  "data-cy"?: string;
+  dropdownItems?: React.ReactNode[];
   loading?: boolean;
-  dropdownItems: React.JSX.Element[];
   size?: ButtonSize;
-  "data-cy"?: string;
-  open?: boolean;
-  setOpen?: React.Dispatch<React.SetStateAction<boolean>>;
-}
+} & Omit<MenuProps, "children" | "refEl" | "trigger">;
 
 export const ButtonDropdown: React.FC<Props> = ({
+  children,
   "data-cy": dataCy = "ellipsis-btn",
   disabled = false,
   dropdownItems,
@@ -21,26 +21,26 @@ export const ButtonDropdown: React.FC<Props> = ({
   open = undefined,
   setOpen = undefined,
   size = "small",
-  ...rest
+  ...menuProps
 }) => (
   <Menu
     adjustOnMutation
     data-cy="card-dropdown"
     open={open}
     setOpen={setOpen}
+    {...menuProps}
     trigger={
       <LoadingButton
         data-cy={dataCy}
         disabled={disabled}
         loading={loading}
         size={size}
-        {...rest}
       >
         <Icon glyph="Ellipsis" />
       </LoadingButton>
     }
   >
-    {dropdownItems}
+    {dropdownItems ?? children}
   </Menu>
 );
 
diff --git a/apps/spruce/src/constants/cookies.ts b/apps/spruce/src/constants/cookies.ts
index 24d65b687d..dafe0641e0 100644
--- a/apps/spruce/src/constants/cookies.ts
+++ b/apps/spruce/src/constants/cookies.ts
@@ -19,3 +19,4 @@ export const TASK_HISTORY_INACTIVE_COMMITS_VIEW =
   "task-history-inactive-commits-view";
 export const SEEN_TASK_REVIEW_TOOLTIP = "seen-task-review-tooltip";
 export const SEEN_TEST_SELECTION_GUIDE_CUE = "seen-test-selection-guide-cue";
+export const OMIT_INACTIVE_WATERFALL_BUILDS = "omit-inactive-waterfall-builds";
diff --git a/apps/spruce/src/pages/waterfall/WaterfallFilters.tsx b/apps/spruce/src/pages/waterfall/WaterfallFilters.tsx
index e1d10949dd..77b230598a 100644
--- a/apps/spruce/src/pages/waterfall/WaterfallFilters.tsx
+++ b/apps/spruce/src/pages/waterfall/WaterfallFilters.tsx
@@ -15,15 +15,19 @@ import { Pagination, WaterfallFilterOptions } from "./types";
 import { WaterfallMenu } from "./WaterfallMenu";
 
 type WaterfallFiltersProps = {
+  omitInactiveBuilds: boolean;
   projectIdentifier: string;
   pagination: Pagination | undefined;
   restartWalkthrough: () => void;
+  setOmitInactiveBuilds: (value: boolean) => void;
 };
 
 export const WaterfallFilters: React.FC<WaterfallFiltersProps> = ({
+  omitInactiveBuilds,
   pagination,
   projectIdentifier,
   restartWalkthrough,
+  setOmitInactiveBuilds,
 }) => {
   const { sendEvent } = useWaterfallAnalytics();
 
@@ -83,8 +87,10 @@ export const WaterfallFilters: React.FC<WaterfallFiltersProps> = ({
         />
       </ProjectFilterItem>
       <WaterfallMenu
+        omitInactiveBuilds={omitInactiveBuilds}
         projectIdentifier={projectIdentifier}
         restartWalkthrough={restartWalkthrough}
+        setOmitInactiveBuilds={setOmitInactiveBuilds}
       />
       <PaginationButtons pagination={pagination} />
     </Container>
diff --git a/apps/spruce/src/pages/waterfall/WaterfallGrid.tsx b/apps/spruce/src/pages/waterfall/WaterfallGrid.tsx
index e7437e96ca..8e57ab062c 100644
--- a/apps/spruce/src/pages/waterfall/WaterfallGrid.tsx
+++ b/apps/spruce/src/pages/waterfall/WaterfallGrid.tsx
@@ -1,4 +1,11 @@
-import { useCallback, useEffect, useRef, useState, useTransition } from "react";
+import {
+  useCallback,
+  useDeferredValue,
+  useEffect,
+  useRef,
+  useState,
+  useTransition,
+} from "react";
 import { useSuspenseQuery } from "@apollo/client/react";
 import styled from "@emotion/styled";
 import { size, transitionDuration } from "@evg-ui/lib/constants/tokens";
@@ -44,21 +51,16 @@ type ServerFilters = Pick<
   "requesters" | "statuses" | "tasks" | "variants"
 >;
 
-const resetFilterState: ServerFilters = {
-  requesters: undefined,
-  statuses: undefined,
-  tasks: undefined,
-  variants: undefined,
-};
-
 type WaterfallGridProps = {
+  guideCueRef: React.RefObject<WalkthroughGuideCueRef>;
+  omitInactiveBuilds: boolean;
   projectIdentifier: string;
   setPagination: (pagination: Pagination) => void;
-  guideCueRef: React.RefObject<WalkthroughGuideCueRef>;
 };
 
 export const WaterfallGrid: React.FC<WaterfallGridProps> = ({
   guideCueRef,
+  omitInactiveBuilds,
   projectIdentifier,
   setPagination,
 }) => {
@@ -104,6 +106,19 @@ export const WaterfallGrid: React.FC<WaterfallGridProps> = ({
     });
   }, [pins, projectIdentifier]);
 
+  const [requesters] = useQueryParam<string[]>(
+    WaterfallFilterOptions.Requesters,
+    [],
+  );
+  const [statuses] = useQueryParam<string[]>(
+    WaterfallFilterOptions.Statuses,
+    [],
+  );
+  const [tasks] = useQueryParam<string[]>(WaterfallFilterOptions.Task, []);
+  const [variants] = useQueryParam<string[]>(
+    WaterfallFilterOptions.BuildVariant,
+    [],
+  );
   const [maxOrder] = useQueryParam<number>(WaterfallFilterOptions.MaxOrder, 0);
   const [minOrder] = useQueryParam<number>(WaterfallFilterOptions.MinOrder, 0);
   const [revision] = useQueryParam<string | null>(
@@ -115,9 +130,18 @@ export const WaterfallGrid: React.FC<WaterfallGridProps> = ({
   const timezone = useUserTimeZone() ?? utcTimeZone;
   const utcDate = getUTCEndOfDay(date, timezone);
 
-  // TODO DEVPROD-23578: serverFilters can be calculated from queryParams directly, useState should not be necessary
-  const [serverFilters, setServerFilters] =
-    useState<ServerFilters>(resetFilterState);
+  // Initialize serverFilters from query params to avoid double query
+  const getServerFiltersFromParams = () => ({
+    requesters,
+    statuses,
+    tasks,
+    variants,
+  });
+
+  const [serverFilters, setServerFilters] = useState<ServerFilters>(
+    getServerFiltersFromParams,
+  );
+  const serverParams = useDeferredValue(serverFilters);
 
   const { data, dataState } = useSuspenseQuery<
     WaterfallQuery,
@@ -129,9 +153,10 @@ export const WaterfallGrid: React.FC<WaterfallGridProps> = ({
         limit: VERSION_LIMIT,
         maxOrder,
         minOrder,
+        omitInactiveBuilds,
         revision,
         date: utcDate,
-        ...serverFilters,
+        ...serverParams,
       },
     },
     // @ts-expect-error pollInterval isn't officially supported by useSuspenseQuery, but it works so let's use it anyway.
@@ -173,37 +198,27 @@ export const WaterfallGrid: React.FC<WaterfallGridProps> = ({
       ? data.waterfall.pagination.activeVersionIds
       : [],
     flattenedVersions: dataIsComplete ? data.waterfall.flattenedVersions : [],
+    omitInactiveBuilds,
     pins,
   });
 
   const [isPending, startTransition] = useTransition();
-  const [allQueryParams] = useQueryParams();
 
   useEffect(() => {
-    const hasServerParams =
-      Object.keys(allQueryParams).includes(WaterfallFilterOptions.Requesters) ||
-      Object.keys(allQueryParams).includes(WaterfallFilterOptions.Statuses) ||
-      Object.keys(allQueryParams).includes(WaterfallFilterOptions.Task) ||
-      Object.keys(allQueryParams).includes(WaterfallFilterOptions.BuildVariant);
+    const newFilters = getServerFiltersFromParams();
+    const hasServerParams = Object.values(newFilters).some((f) => f.length > 0);
+
+    // Only apply server filters if we have server params and need more results
+    // Otherwise, use client-side filtering
     if (activeVersionIds.length < VERSION_LIMIT && hasServerParams) {
-      const filters = {
-        requesters: allQueryParams[
-          WaterfallFilterOptions.Requesters
-        ] as string[],
-        statuses: allQueryParams[WaterfallFilterOptions.Statuses] as string[],
-        tasks: allQueryParams[WaterfallFilterOptions.Task] as string[],
-        variants: allQueryParams[
-          WaterfallFilterOptions.BuildVariant
-        ] as string[],
-      };
       startTransition(() => {
-        setServerFilters(filters);
+        setServerFilters(newFilters);
       });
     } else if (!hasServerParams) {
-      // Because this data is already loaded and no animation is necessary, omitting startTransition for snappiness
-      setServerFilters(resetFilterState); // eslint-disable-line react-hooks/set-state-in-effect
+      // This data may or may not be cached, but either way it seems more natural not to show fetchMore upon clearing filters
+      setServerFilters(newFilters); // eslint-disable-line react-hooks/set-state-in-effect
     }
-  }, [allQueryParams]); // eslint-disable-line react-hooks/exhaustive-deps
+  }, [activeVersionIds.length, requesters, statuses, tasks, variants]); // eslint-disable-line react-hooks/exhaustive-deps
 
   const firstActiveVersionId = activeVersionIds[0];
   const lastActiveVersionId = activeVersionIds[activeVersionIds.length - 1];
diff --git a/apps/spruce/src/pages/waterfall/WaterfallMenu/OmitInactiveBuilds.tsx b/apps/spruce/src/pages/waterfall/WaterfallMenu/OmitInactiveBuilds.tsx
new file mode 100644
index 0000000000..1a37ce70ef
--- /dev/null
+++ b/apps/spruce/src/pages/waterfall/WaterfallMenu/OmitInactiveBuilds.tsx
@@ -0,0 +1,50 @@
+import styled from "@emotion/styled";
+import { Checkbox } from "@leafygreen-ui/checkbox";
+import { FocusableMenuItem } from "@leafygreen-ui/menu";
+import Cookies from "js-cookie";
+import { useWaterfallAnalytics } from "analytics";
+import { OMIT_INACTIVE_WATERFALL_BUILDS } from "constants/cookies";
+
+interface OmitInactiveBuildsProps {
+  omitInactiveBuilds: boolean;
+  setOmitInactiveBuilds: (value: boolean) => void;
+}
+
+export const OmitInactiveBuilds: React.FC<OmitInactiveBuildsProps> = ({
+  omitInactiveBuilds,
+  setOmitInactiveBuilds,
+}) => {
+  const { sendEvent } = useWaterfallAnalytics();
+
+  const handleChange = (e: React.ChangeEvent<HTMLInputElement>) => {
+    const newValue = e.target.checked;
+    setOmitInactiveBuilds(newValue);
+    Cookies.set(OMIT_INACTIVE_WATERFALL_BUILDS, newValue.toString(), {
+      expires: 365,
+    });
+    sendEvent({ name: "Toggled omit inactive builds", enabled: newValue });
+  };
+
+  return (
+    <StyledFocusableMenuItem>
+      <StyledCheckbox
+        checked={omitInactiveBuilds}
+        data-cy="omit-inactive-builds-checkbox"
+        description="When filtering, omit build variants with 0 activated tasks."
+        label="Omit inactive builds"
+        onChange={handleChange}
+      />
+    </StyledFocusableMenuItem>
+  );
+};
+
+const StyledFocusableMenuItem = styled(FocusableMenuItem)`
+  padding-left: 14px;
+  padding-right: 14px;
+`;
+
+const StyledCheckbox = styled(Checkbox)`
+  label > span {
+    font-weight: 500;
+  }
+`;
diff --git a/apps/spruce/src/pages/waterfall/WaterfallMenu/WaterfallMenu.test.tsx b/apps/spruce/src/pages/waterfall/WaterfallMenu/WaterfallMenu.test.tsx
new file mode 100644
index 0000000000..b36180204b
--- /dev/null
+++ b/apps/spruce/src/pages/waterfall/WaterfallMenu/WaterfallMenu.test.tsx
@@ -0,0 +1,121 @@
+import { MemoryRouter } from "react-router-dom";
+import { RenderFakeToastContext } from "@evg-ui/lib/context/toast/__mocks__";
+import {
+  MockedProvider,
+  render,
+  screen,
+  userEvent,
+  waitFor,
+} from "@evg-ui/lib/test_utils";
+import { WaterfallMenu } from ".";
+
+const Wrapper: React.FC<{ children: React.ReactNode }> = ({ children }) => (
+  <MemoryRouter initialEntries={["/project/spruce/waterfall"]}>
+    {children}
+  </MemoryRouter>
+);
+
+const renderWaterfallMenu = (props: {
+  omitInactiveBuilds?: boolean;
+  projectIdentifier?: string;
+  restartWalkthrough?: () => void;
+  setOmitInactiveBuilds?: (value: boolean) => void;
+}) => {
+  const {
+    omitInactiveBuilds = false,
+    projectIdentifier = "spruce",
+    restartWalkthrough = vi.fn(),
+    setOmitInactiveBuilds = vi.fn(),
+  } = props;
+
+  const { Component } = RenderFakeToastContext(
+    <MockedProvider>
+      <WaterfallMenu
+        omitInactiveBuilds={omitInactiveBuilds}
+        projectIdentifier={projectIdentifier}
+        restartWalkthrough={restartWalkthrough}
+        setOmitInactiveBuilds={setOmitInactiveBuilds}
+      />
+    </MockedProvider>,
+  );
+
+  return render(<Component />, { wrapper: Wrapper });
+};
+
+describe("WaterfallMenu", () => {
+  it("renders the menu button", async () => {
+    const user = userEvent.setup();
+    renderWaterfallMenu({});
+
+    const menuButton = screen.getByRole("button");
+    expect(menuButton).toBeInTheDocument();
+
+    await user.click(menuButton);
+
+    await waitFor(() => {
+      expect(screen.getByText("Settings")).toBeVisible();
+    });
+  });
+
+  it("renders the Settings section with OmitInactiveBuilds option", async () => {
+    const user = userEvent.setup();
+    renderWaterfallMenu({});
+
+    await user.click(screen.getByRole("button"));
+
+    await waitFor(() => {
+      expect(screen.getByText("Omit inactive builds")).toBeVisible();
+    });
+  });
+
+  it("calls setOmitInactiveBuilds when checkbox is toggled", async () => {
+    const setOmitInactiveBuilds = vi.fn();
+    const user = userEvent.setup();
+
+    renderWaterfallMenu({ setOmitInactiveBuilds });
+
+    await user.click(screen.getByRole("button"));
+
+    await waitFor(() => {
+      expect(screen.getByText("Omit inactive builds")).toBeVisible();
+    });
+
+    await user.click(screen.getByText("Omit inactive builds"));
+
+    expect(setOmitInactiveBuilds).toHaveBeenCalledWith(true);
+  });
+
+  it("renders all menu items", async () => {
+    const user = userEvent.setup();
+    renderWaterfallMenu({});
+
+    await user.click(screen.getByRole("button"));
+
+    await waitFor(() => {
+      expect(screen.getByText("Search by git hash")).toBeVisible();
+    });
+
+    expect(screen.getByText("Jump to most recent commit")).toBeVisible();
+    expect(screen.getByText("Clear all filters")).toBeVisible();
+    expect(screen.getByText("Add notification")).toBeVisible();
+    expect(screen.getByText("Restart walkthrough")).toBeVisible();
+    expect(screen.getByText("Settings")).toBeVisible();
+  });
+
+  it("calls restartWalkthrough when restart walkthrough is clicked", async () => {
+    const restartWalkthrough = vi.fn();
+    const user = userEvent.setup();
+
+    renderWaterfallMenu({ restartWalkthrough });
+
+    await user.click(screen.getByRole("button"));
+
+    await waitFor(() => {
+      expect(screen.getByText("Restart walkthrough")).toBeVisible();
+    });
+
+    await user.click(screen.getByText("Restart walkthrough"));
+
+    expect(restartWalkthrough).toHaveBeenCalled();
+  });
+});
diff --git a/apps/spruce/src/pages/waterfall/WaterfallMenu/index.tsx b/apps/spruce/src/pages/waterfall/WaterfallMenu/index.tsx
index 9a8842d9ac..cf5061b605 100644
--- a/apps/spruce/src/pages/waterfall/WaterfallMenu/index.tsx
+++ b/apps/spruce/src/pages/waterfall/WaterfallMenu/index.tsx
@@ -1,4 +1,5 @@
 import { useState } from "react";
+import { MenuGroup, MenuSeparator } from "@leafygreen-ui/menu";
 import Icon from "@evg-ui/lib/components/Icon";
 import { ButtonDropdown, DropdownItem } from "components/ButtonDropdown";
 import { walkthroughSteps, waterfallGuideId } from "../constants";
@@ -6,50 +7,63 @@ import { AddNotification } from "./AddNotification";
 import { ClearAllFilters } from "./ClearAllFilters";
 import { GitCommitSearch } from "./GitCommitSearch";
 import { JumpToMostRecent } from "./JumpToMostRecent";
+import { OmitInactiveBuilds } from "./OmitInactiveBuilds";
 
 const menuProps = { [waterfallGuideId]: walkthroughSteps[4].targetId };
 
 type Props = {
+  omitInactiveBuilds: boolean;
   projectIdentifier: string;
   restartWalkthrough: () => void;
+  setOmitInactiveBuilds: (value: boolean) => void;
 };
 
 export const WaterfallMenu: React.FC<Props> = ({
+  omitInactiveBuilds,
   projectIdentifier,
   restartWalkthrough,
+  setOmitInactiveBuilds,
 }) => {
   const [menuOpen, setMenuOpen] = useState(false);
 
-  const dropdownItems = [
-    <GitCommitSearch key="git-commit-search" setMenuOpen={setMenuOpen} />,
-    <JumpToMostRecent key="jump-to-most-recent" setMenuOpen={setMenuOpen} />,
-    <ClearAllFilters key="clear-all-filters" setMenuOpen={setMenuOpen} />,
-    <AddNotification
-      key="add-notification"
-      projectIdentifier={projectIdentifier}
-      setMenuOpen={setMenuOpen}
-    />,
-    <DropdownItem
-      key="restart-walkthrough"
-      data-cy="restart-walkthrough"
-      glyph={<Icon glyph="Bulb" />}
-      onClick={() => {
-        setMenuOpen(false);
-        restartWalkthrough();
-      }}
-    >
-      Restart walkthrough
-    </DropdownItem>,
-  ];
-
   return (
     <ButtonDropdown
       data-cy="waterfall-menu"
-      dropdownItems={dropdownItems}
       open={menuOpen}
+      renderDarkMenu={false}
       setOpen={setMenuOpen}
       size="default"
       {...menuProps}
-    />
+    >
+      <GitCommitSearch key="git-commit-search" setMenuOpen={setMenuOpen} />
+      <JumpToMostRecent key="jump-to-most-recent" setMenuOpen={setMenuOpen} />
+      <ClearAllFilters key="clear-all-filters" setMenuOpen={setMenuOpen} />
+      <AddNotification
+        key="add-notification"
+        projectIdentifier={projectIdentifier}
+        setMenuOpen={setMenuOpen}
+      />
+      <DropdownItem
+        key="restart-walkthrough"
+        data-cy="restart-walkthrough"
+        glyph={<Icon glyph="Bulb" />}
+        onClick={() => {
+          setMenuOpen(false);
+          restartWalkthrough();
+        }}
+      >
+        Restart walkthrough
+      </DropdownItem>
+
+      <MenuSeparator />
+
+      <MenuGroup glyph={<Icon glyph="Settings" />} title="Settings">
+        <OmitInactiveBuilds
+          key="omit-inactive-builds"
+          omitInactiveBuilds={omitInactiveBuilds}
+          setOmitInactiveBuilds={setOmitInactiveBuilds}
+        />
+      </MenuGroup>
+    </ButtonDropdown>
   );
 };
diff --git a/apps/spruce/src/pages/waterfall/index.tsx b/apps/spruce/src/pages/waterfall/index.tsx
index d305839d46..f66b9ded4f 100644
--- a/apps/spruce/src/pages/waterfall/index.tsx
+++ b/apps/spruce/src/pages/waterfall/index.tsx
@@ -1,6 +1,7 @@
 import { Suspense, useCallback, useRef, useState } from "react";
 import { Global, css } from "@emotion/react";
 import styled from "@emotion/styled";
+import Cookies from "js-cookie";
 import { useParams } from "react-router-dom";
 import { size } from "@evg-ui/lib/constants/tokens";
 import { usePageTitle } from "@evg-ui/lib/hooks/usePageTitle";
@@ -9,6 +10,7 @@ import { ProjectBanner, RepotrackerBanner } from "components/Banners";
 import FilterChips, { useFilterChipQueryParams } from "components/FilterChips";
 import { navBarHeight } from "components/styles/Layout";
 import { WalkthroughGuideCueRef } from "components/WalkthroughGuideCue";
+import { OMIT_INACTIVE_WATERFALL_BUILDS } from "constants/cookies";
 import { slugs } from "constants/routes";
 import { waterfallPageContainerId } from "./constants";
 import { Pagination, WaterfallFilterOptions } from "./types";
@@ -29,6 +31,10 @@ const Waterfall: React.FC = () => {
 
   const [pagination, setPagination] = useState<Pagination>();
 
+  const [omitInactiveBuilds, setOmitInactiveBuilds] = useState(
+    Cookies.get(OMIT_INACTIVE_WATERFALL_BUILDS) === "true",
+  );
+
   const guideCueRef = useRef<WalkthroughGuideCueRef>(null);
   const restartWalkthrough = useCallback(
     () => guideCueRef.current?.restart(),
@@ -44,9 +50,11 @@ const Waterfall: React.FC = () => {
         <WaterfallFilters
           // Using a key rerenders the filter components so that uncontrolled components can compute a new initial state
           key={projectIdentifier}
+          omitInactiveBuilds={omitInactiveBuilds}
           pagination={pagination}
           projectIdentifier={projectIdentifier ?? ""}
           restartWalkthrough={restartWalkthrough}
+          setOmitInactiveBuilds={setOmitInactiveBuilds}
         />
         <FilterChips
           chips={chips}
@@ -64,6 +72,7 @@ const Waterfall: React.FC = () => {
             <WaterfallGrid
               key={projectIdentifier}
               guideCueRef={guideCueRef}
+              omitInactiveBuilds={omitInactiveBuilds}
               projectIdentifier={projectIdentifier ?? ""}
               setPagination={setPagination}
             />
diff --git a/apps/spruce/src/pages/waterfall/useFilters.test.tsx b/apps/spruce/src/pages/waterfall/useFilters.test.tsx
index 5fe75ea8b0..3a4687a2d8 100644
--- a/apps/spruce/src/pages/waterfall/useFilters.test.tsx
+++ b/apps/spruce/src/pages/waterfall/useFilters.test.tsx
@@ -24,6 +24,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -43,6 +44,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -75,6 +77,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: ["3", "2"],
           }),
         {
@@ -101,6 +104,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -130,6 +134,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -165,6 +170,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -211,6 +217,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -263,6 +270,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -292,6 +300,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
@@ -338,6 +347,7 @@ describe("useFilters", () => {
           useFilters({
             activeVersionIds: ["b", "c", "f"],
             flattenedVersions: versions,
+            omitInactiveBuilds: false,
             pins: [],
           }),
         {
diff --git a/apps/spruce/src/pages/waterfall/useFilters.ts b/apps/spruce/src/pages/waterfall/useFilters.ts
index 7dd48d973a..395840326e 100644
--- a/apps/spruce/src/pages/waterfall/useFilters.ts
+++ b/apps/spruce/src/pages/waterfall/useFilters.ts
@@ -14,12 +14,14 @@ import { groupBuildVariants, groupInactiveVersions } from "./utils";
 type UseFiltersProps = {
   activeVersionIds: Pagination["activeVersionIds"];
   flattenedVersions: Version[];
+  omitInactiveBuilds: boolean;
   pins: string[];
 };
 
 export const useFilters = ({
   activeVersionIds,
   flattenedVersions,
+  omitInactiveBuilds,
   pins,
 }: UseFiltersProps) => {
   const buildVariants = groupBuildVariants(flattenedVersions);
@@ -84,6 +86,14 @@ export const useFilters = ({
       const activeBuilds: Build[] = [];
       bv.builds.forEach((b) => {
         if (activeVersions.find(({ id }) => id === b.version)) {
+          // Omit inactive builds if setting is enabled and filtering is active
+          if (
+            omitInactiveBuilds &&
+            buildVariantFilterRegex.length &&
+            !b.activated
+          ) {
+            return;
+          }
           if (taskFilterRegex.length || statuses.length) {
             const activeTasks = b.tasks.filter(
               (t) =>
@@ -108,6 +118,7 @@ export const useFilters = ({
     buildVariantFilterRegex,
     buildVariants,
     flattenedVersions,
+    omitInactiveBuilds,
     pins,
     requesters,
     statuses,