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This requirement appears as "new" in our list from the Toronto or St. Petersburg f2f. We have not yet found the basis of the requirement in the minutes, but it was rated in St. Petersburg.
On 20 October 2006, the WG agreed to close this issue with a resolution of LATER. That is, if changes to our annotation structures, or to our exposition of annotation, prove to be desirable on the grounds of work done by the Data Binding WG, we will be happy to consider them. But we don't have any concrete suggestions at the moment, and thus do not expect to see any changes motivated by databinding issues in the text of XML Schema 1.1.