Sand filtration technology has been developed in Oregon by Orenco Systems Inc. The State of Oregon imposed tough requirements back in the 1970's, and Orenco met the challenge in the early 1980's by designing and refining the sand filtration technology. In response to widespread onsite wastewater system failures during the 1970's, Oregon's Department of Environmental Quality denied many new septic tank installations (up to 50% in some areas) until hazards could be corrected and further failures prevented. Douglas county, Oregon, invested in an ambitious program to clean up local problems and to ensure the success of new systems. A dedicated group of engineers, soil scientists, and sanitarians sought out appropriate wastewater technologies, designed and monitored demonstration projects, and then helped write onsite wastewater rules for the state.

During the investigation of new technologies the group discovered that much of the equipment required to implement their sand filter designs was not commercially available. Sand filter technology was one technology advocated by the group because it met the environmental concerns had widespread applicability and was considered a low cost replacement for the standard septic system. In 1981, several of the group's engineers founded Orenco Systems Incorporated to manufacture the specialized equipment they required to implement their sand filter designs.