The Australian television and radio personality, who judges Australia's Got Talent alongside Minogue and Brian McFadden, said that he was rather put out after discovering that Minogue asked McFadden to be godfather instead of him.
Sandilands said on his 2DayFM breakfast show: "Brian - I found out on the weekend - is Ethan's godfather. I'm not that into Ethan, so I don't care that I wasn't asked because I'm saving myself for another little baby."
He then asked co-host Jackie O, who gave birth to daughter Kitty earlier this year: "So, I'm asking now, could I be the godfather of Kitty?"
Jackie O then exclaimed: "You don't want to be the godfather!" to which Sandilands replied: "I don't want kids - not now, not ever. But, if you and Lee were to die... who better - and who has the cash - I would look after that child as if she was my own. And while I don't want a baby, who else would be better suited to look after it?"
The new mother admitted that Sandilands's name had come up when she discussed godparents with her husband Lee Henderson, but added: "You were kind of discarded really quickly! We've gone with my brother and Lee's sister."
Sandilands then said: "Your brother and Lee's drunk-arse sister? This is bulls**t!"
When Jackie O asked him "what kind of morals" he would instill in Kitty, he insisted that he would "sacrifice" himself and have a "massive change of lifestyle", but when she said that she would bring her daughter into work to evaluate how "paternal Kyle will be", he said that she couldn't because Friday is his "party day".
Sandilands has caused controversy this week for blasting rival radio host Merrick Watts and for labelling Project Runway host Megan Gale as a "phoney" live on air.
Listen to Kyle and Jackie O discuss his abilities as a godfather below: