Federal Financial Assistance Management Improvement Act of 1998

Federal Financial Assistance Management Improvement Act of 1998 - Directs each Federal agency to develop and implement a plan that, among other things, streamlines and simplifies the application, administrative, and reporting procedures for Federal financial assistance programs administered by the agency. Requires each agency to publish the plan in the Federal Register, receive public comment, and hold public forums on the plan. Requires the designated lead agency official to consult with the representatives of non-Federal entities during plan development and implementation.

Requires each Federal agency to submit the plan developed to the Director of the Office of Management and Budget (OMB) and the Congress and report annually thereafter on plan implementation and agency performance in meeting goals and objectives.

Requires the Director to direct, coordinate and assist Federal agencies in establishing: (1) a common application and reporting system; and (2) an interagency process for addressing ways to streamline and simplify Federal financial assistance administrative procedures and reporting requirements for non-Federal entities.

Permits the Director to designate a lead agency to assist him or her and use interagency working groups to assist in carrying out such responsibilities.

Exempts any Federal agency or Federal financial assistance program from the requirements of this Act if the Director determines that the agency does not have a significant number of Federal financial assistance programs. Requires the Director to maintain a list of exempted agencies available to the public through OMB's Internet site.

Requires the Director or lead agency to contract with the National Academy of Public Administration to evaluate the effectiveness of this Act. Requires the evaluation to be: (1) submitted to the lead agency, the Director, and the Congress; and (2) performed with input from State, local, and tribal governments and nonprofit organizations. Terminates this Act five years after enactment.