Folder does not appear as Parent Item
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I created a custom folder named HVAC. See settings:
However, when I try to add a page underneath this folder, it does not show up in the drop down menu item named "Parent item" at the top.
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If a menu item has a template URL or links to a custom page it can not be a parent item.
You'll need to delete the item you want to be parent and then add it again with unchecking the Link to custom page box.
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Great!