To prohibit discrimination and preferential treatment on the basis of race, sex, color, national origin, or ethnicity in connection with admission to an institution of higher education participating in any program authorized under the Higher Education Act of 1965.

Anti-Discrimination in College Admissions Act of 1998 - Prohibits discrimination and preferential treatment on the basis of race, sex, color, national origin, or ethnicity in connection with admission to an institution of higher education participating in any program authorized under the Higher Education Act of 1965.

Declares that such prohibition does not prohibit or limit any effort by an institution of higher education to encourage and recruit qualified women and minorities to seek admission to such institution if such recruitment or encouragement does not involve granting preferential treatment, in selecting any person for admission, that is based in whole or in part on race, sex, color, ethnicity, or national origin.