This paper presents the design and implementation of a Filtering block for a Bio-Signal Processor. The aim of the Biosignal Processor design is to implement a portable blood oxygen analyzer which is capable of measuring the partial pressure of Oxygen in blood. The filtering block consists of a reconfigurable FIR filter and a running average IIR filter. The reconfigurability of the FIR filter is dependent on the magnitude of the light sensor diode’s current and is implemented with a feed forward loop from the ADC output as shown in figure 1. A relation between the output of the diode and the noise in the signal is proven in this paper. The IIR filter is used in the Bio-Signal Processor to calculate the average value of signals coming from the FIR filter. The key design constraints are accuracy to compete with the traditional blood gas analyzer and power consumption to make the whole device portable. The filter design is implemented in hardware using the 0.35 micron technology file from Austriamicrosystems and synthesized using the Encounter tool from Cadence Design Systems. The arithmetic and delay units of the filter have been implemented using a novel 16-bit floating point technique.