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In the OPEN dialog box it would be very helpful to be able to Drag and drop folders to the SHORTCUT list and be able to remove items as well.

As far as I know the file open dialog used by textpad is the one provided by your operating system - with just some fields added to it.

Any changes to the basic functions would have to be implemented in the OS, therefore.

If you're using Windows XP, the latest version of Microsoft's TweakUI has a way of changing the five locations in the "Places" bar in all open/save dialog boxes. In TweakUI, click the Common Dialogs > Places Bar category, select the "Custom places bar" option, and then select or type in the locations that you want to use.

This solution is not the same as being able to add/remove folders at any time, but if you usually work in a particular folder, it's nice to have quick access to it.