[UPDATE 7/26/07] Final guidance is now available.
Brian Keller has posted information on how to get WSS 3.0 to work with TFS 2005, which has been a very popular request. This approach has been designed such that the server will still be serviceable after the change (i.e., you'll still be able to apply patches and upgrade to Orcas).
Now that Windows SharePoint Services 3.0 is available we have received several inquiries from people wanting to use WSS 3.0 with Visual Studio 2005 Team Foundation Server. While we have stated that the next version of Team Foundation Server (code-named "Orcas") will support WSS 3.0 out-of-the-box, some customers have understandably wanted a solution sooner than this. There are even a few posts in the community (most notably from Mike Glaser who did a lot of groundbreaking work here) who have demonstrated how to get WSS 3.0 working with Team Foundation Server. However, the problem we observed with the community guidance is that it can leave Team Foundation Server in a state which is not serviceable (see the Q&A below for more information on what this means). Therefore we have prepared the attached guidance to help users enable WSS 3.0 to work with Team Foundation Server in a manner which will remain serviceable.
Please note that this guidance is a "release candidate" of guidance which will eventually be posted to MSDN. We wanted to get this guidance out as soon as possible and address any user feedback on this version prior to posting the final version on MSDN. Please email Brian Keller if you have any feedback on the documentation. Also, as we are trying to get a sense for how many people have used this guidance, please also let us know if you are successful deploying this guidance and which option you went with (Remote or AT).