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See bug 2048 for details. This separate record is for the 1.1 wording proposal, which may or may not be the same as the 1.0 corrigendum.
At the face to face meeting of January 2006 in St. Petersburg, the Working Group decided not to take further action on this issue in XML Schema 1.1. (This issue was not discussed separately; it was one of those which were dispatched by a blanket decision that all other open issues would be closed without action, unless raised again in last-call comments.) Some members of the Working Group expressed regret over not being able to resolve all the issues dealt with in this way, but on the whole the Working Group felt it better not to delay Datatypes 1.1 in order to resolve all of them. This issue should have been marked as RESOLVED /WONTFIX at that time, but apparently was not. I am marking it that way now, to reduce confusion.