I created "Test Folder" and "Test Folder 2" directly under my team. I then created "Test Sub Folder 3" underneath Test Folder 2.  If I "Refresh List" the "Test Sub Folder 3" sub folder stays in the list. If I create a sub folder within a team with a project inside it, then refresh the list. The sub folder disappears and the project is put in to the main directory.   It appears this bug only happens in a team. Regular folders work, but sub folders do not stay persistent. If I create another folder directly under the team and move that folder into another folder, it stays persistent.