I converted a traditional IRA to a Roth IRA in 1998. For 1999, i made contributions of $1350. Now, in doing my taxes for 1999, it looks like i am $70 over my contribution amount as my income came up to almost $110,000. Do i recharachterize this amount, or say it will count for next year's contribution?

As you describe your situation, the Roth conversion in 1998 is not impacted.

Concerning your 1999 issues: if your Roth contribution was actually made this year (2000) then you can get your custodian to shift the contribution from 99 --> 2000. I do not believe 1/4 conversion income effects your current year eligibility. You may want to get help from an accountant on your exact income qualification issues.