In anticipation of the end of Burns's term as Fed chair in March 1978, President Carter announced in December 1977 that Miller was his nominee to replace Burns. The announcement received lukewarm reception as US markets slightly worsened, media coverage expressed uncertainty about the relatively unknown nominee's views, and economists' reactions varied. In this context, Miller sat before the United States Senate Committee on Banking, Housing, and Urban Affairs for the first-ever confirmation hearings for a Federal Reserve chair. Up until this time, the Senate had questioned and voted on the president's nominees to the Board of Governors while the US president selected the chair and vice chair. Some senators were reserved about Miller and challenged his qualifications, and the questions covered a host of issues like Miller's views of the Federal Reserve's independence. Miller voiced support for and belief in the Fed's independence, which (based on Miller's different Senate testimonies) is a position he held before and after his time as the Federal Reserve Chair. Allegations against both Textron and Miller's actions as its leader spurred the committee to investigate the company. Following what one senator called the "most detailed nomination hearings" he had ever seen, Miller was vindicated and unanimously approved by the Senate.