Muschamp added that he was "very surprised" by the resignation and that the decision was "all" Hill's.
The change forces the Florida staff to adapt and prepare for the season without Hill, who was about to start his second season as Florida's wide receivers coach.
That starts with the receiver position. Florida will move grad assistant Bush Hamdan to the wide receivers coach position after he came to Gainesville from Boise State with offensive coordinator Brent Pease in the offseason.
"Bush played for Brent and came with Brent," Muschamp said. "He's a guy that is a really good, young football coach. He was working at Maryland with Ralph Friedgen when James Franklin took the Vanderbilt job, and he coached the quarterbacks for Maryland in their bowl game. He's a very mature guy and an outstanding football coach."
Muschamp said he "never blinked" and knew the Gators "were going to be fine" when he found out about Hill's resignation.
The Florida head coach ruled out the possibility of hiring a receivers coach before the start of the season. He said they will handle the decision of adding someone to the staff in December. He's uncertain if Hamdan will be on the road to recruit this fall.
Hill's departure also leaves a vacancy with the recruiting coordinator. Muschamp will assume that title immediately.
"You're looking at him," Muschamp said. "Every day. That title doesn't mean a whole lot to me. I'm the recruiting coordinator. I handle that and recruit every player that we have. Research recruiting much, and you'll probably realize that."
Pease will also be involved in coaching the receivers. He has worked as the position coach during previous points in his career, and it won't be an issue for him to spend more time coaching receivers this season.
"He was doing it anyway," Muschamp said about working with the receivers. "He was very involved. When you're the coordinator, you wear a lot of hats. It's not like there's a new responsibility being thrown on top of you. He was very comfortable with what we were doing anyway."
In order to run the offense he wants, Pease spent time in the offseason working with the receivers. His main position responsibility is the quarterbacks, but Muschamp knows that also means he will be around the receivers a lot.
"In a lot of situations in the throwing game when you do routes, the timing of the throwing game goes through the quarterback and to the receivers," Muschamp said. "They spend a lot of time together anyway, as far as watching film and being on the same page. Anywhere I've ever been, that has been part of the process."