diff --git a/metricflow/plan_conversion/dataflow_to_sql.py b/metricflow/plan_conversion/dataflow_to_sql.py
index a723d53bf..116930a20 100644
--- a/metricflow/plan_conversion/dataflow_to_sql.py
+++ b/metricflow/plan_conversion/dataflow_to_sql.py
@@ -104,8 +104,8 @@
 )
 from metricflow.protocols.sql_client import SqlEngine
 from metricflow.sql.optimizer.optimization_levels import (
+    SqlQueryGenerationOptionSet,
     SqlQueryOptimizationLevel,
-    SqlQueryOptimizerConfiguration,
 )
 from metricflow.sql.sql_exprs import (
     SqlAggregateFunctionExpression,
@@ -181,20 +181,23 @@ def convert_to_sql_query_plan(
         sql_query_plan_id: Optional[DagId] = None,
     ) -> ConvertToSqlPlanResult:
         """Create an SQL query plan that represents the computation up to the given dataflow plan node."""
-        to_sql_visitor = DataflowNodeToSqlSubqueryVisitor(
+        # TODO: Handle generation with CTE.
+        to_sql_subquery_visitor = DataflowNodeToSqlSubqueryVisitor(
             column_association_resolver=self.column_association_resolver,
             semantic_manifest_lookup=self._semantic_manifest_lookup,
         )
-        data_set = dataflow_plan_node.accept(to_sql_visitor)
+        data_set = dataflow_plan_node.accept(to_sql_subquery_visitor)
 
         sql_node: SqlQueryPlanNode = data_set.sql_node
         # TODO: Make this a more generally accessible attribute instead of checking against the
         # BigQuery-ness of the engine
         use_column_alias_in_group_by = sql_engine_type is SqlEngine.BIGQUERY
 
-        for optimizer in SqlQueryOptimizerConfiguration.optimizers_for_level(
+        option_set = SqlQueryGenerationOptionSet.options_for_level(
             optimization_level, use_column_alias_in_group_by=use_column_alias_in_group_by
-        ):
+        )
+
+        for optimizer in option_set.optimizers:
             logger.debug(LazyFormat(lambda: f"Applying optimizer: {optimizer.__class__.__name__}"))
             sql_node = optimizer.optimize(sql_node)
             logger.debug(
diff --git a/metricflow/sql/optimizer/optimization_levels.py b/metricflow/sql/optimizer/optimization_levels.py
index 2355ca53f..067019eb9 100644
--- a/metricflow/sql/optimizer/optimization_levels.py
+++ b/metricflow/sql/optimizer/optimization_levels.py
@@ -1,7 +1,10 @@
 from __future__ import annotations
 
+from dataclasses import dataclass
 from enum import Enum
-from typing import Sequence
+from typing import Tuple
+
+from dbt_semantic_interfaces.enum_extension import assert_values_exhausted
 
 from metricflow.sql.optimizer.column_pruner import SqlColumnPrunerOptimizer
 from metricflow.sql.optimizer.rewriting_sub_query_reducer import SqlRewritingSubQueryReducer
@@ -18,27 +21,49 @@ class SqlQueryOptimizationLevel(Enum):
     O2 = "O2"
     O3 = "O3"
     O4 = "O4"
+    O5 = "O5"
+
 
+@dataclass(frozen=True)
+class SqlQueryGenerationOptionSet:
+    """Defines the different SQL generation optimizers / options that should be used at each level."""
 
-class SqlQueryOptimizerConfiguration:
-    """Defines the different optimizers that should be used at each level."""
+    optimizers: Tuple[SqlQueryPlanOptimizer, ...]
+
+    # Specifies whether CTEs can be used to simplify generated SQL.
+    allow_cte: bool
 
     @staticmethod
-    def optimizers_for_level(
+    def options_for_level(  # noqa: D102
         level: SqlQueryOptimizationLevel, use_column_alias_in_group_by: bool
-    ) -> Sequence[SqlQueryPlanOptimizer]:
-        """Return the optimizers that should be applied (in order) for each level."""
+    ) -> SqlQueryGenerationOptionSet:
+        optimizers: Tuple[SqlQueryPlanOptimizer, ...] = ()
+        allow_cte = False
         if level is SqlQueryOptimizationLevel.O0:
-            return ()
+            pass
         elif level is SqlQueryOptimizationLevel.O1:
-            return (SqlTableAliasSimplifier(),)
+            optimizers = (SqlTableAliasSimplifier(),)
         elif level is SqlQueryOptimizationLevel.O2:
-            return (SqlColumnPrunerOptimizer(), SqlTableAliasSimplifier())
+            optimizers = (SqlColumnPrunerOptimizer(), SqlTableAliasSimplifier())
         elif level is SqlQueryOptimizationLevel.O3:
-            return (SqlColumnPrunerOptimizer(), SqlSubQueryReducer(), SqlTableAliasSimplifier())
+            optimizers = (SqlColumnPrunerOptimizer(), SqlSubQueryReducer(), SqlTableAliasSimplifier())
         elif level is SqlQueryOptimizationLevel.O4:
-            return (
+            optimizers = (
+                SqlColumnPrunerOptimizer(),
+                SqlRewritingSubQueryReducer(use_column_alias_in_group_bys=use_column_alias_in_group_by),
+                SqlTableAliasSimplifier(),
+            )
+        elif level is SqlQueryOptimizationLevel.O5:
+            optimizers = (
                 SqlColumnPrunerOptimizer(),
                 SqlRewritingSubQueryReducer(use_column_alias_in_group_bys=use_column_alias_in_group_by),
                 SqlTableAliasSimplifier(),
             )
+            allow_cte = True
+        else:
+            assert_values_exhausted(level)
+
+        return SqlQueryGenerationOptionSet(
+            optimizers=optimizers,
+            allow_cte=allow_cte,
+        )