Doane was called to Albany, New York in 1867 to serve "the venerable parish of St. Peter's, Albany." The General Convention of 1868, in New York City, founded a new diocese of Albany. Doane was elected the first bishop at the organizational convention of the diocese in St. Peter's Church. His election had "strong opposition," because he was a "young rector," but also because "the evangelical element ... looked upon Mr. Doane as a high churchman, his ritualistic practices..." adopted as part of the Oxford Movement influence.