I am almost positive, that is NOT the way it goes. It could be the reason you are feeling a "bind" too. You have the idler gear with two races pressed into it in opposing directions. You place one bearing into the race on one end of the idler gear and place that end down on a flat surface, you then put the spacer/collar in down the center and it sits against the face of the installed bearing, you then put the shims on that (using grease on the spacer and shims to keep them together) and then install the other bearing. The spacer and shims dictate how close the bearings (which are in opposing directions) can be (distance between the two). More shims equals increased distance, less obviously equals less distance. The case itself (even though cast) will give and try to pull the bearings in toward the races as you crank on the nut on the idler shaft. The shims and spacer keep the bearings from moving toward each other (and puts pressure on the case and nut as you tighten it). Too many shims and you will have a very sloppy idler gear (moves excessively front to back), and not enough and you will have a bind on the idler shaft (won't move front to back), and just enough and the idler gear should move .001 to .002 inches (per a dial indicator).
If you are used to shimming different things it may be different for you (lefty tighty instead of righty tighty so to speak).
It's a little different principle than say the carrier bearings in a differential. Too many shims will make the carrier bearings too tight, and not enough will make it too loose as the shims are to the outside of the bearings and these are to the inside of the bearings.
You can think of the idler shaft shims in the t-case more like the crush sleeve on the pinion bearings. The crush sleeve crushes to allow the distance between the two opposed pinion bearings to become smaller (take up the tolerance), not crushed enough (similar to too many shims on the t-case idler shaft) and you have excessive play, and if crushed too much (similar to not enough shims on the t-case idler shaft) you get a bind and worn out bearings due to too much pressure.
Let me know if this makes sense. I know what I mean, but I'm generally not to good at getting it across in words (just ask my G/F /forums/images/icons/blush.gif )
Also note it should not matter which side of the spacer the shims go on as they are only increasing the distance between the two bearings.
Please correct me if you KNOW otherwise.
P.S. It looks like I'm going to have to update my 205 rebuild article to include a little more detail (my bad to begin with).