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There's no way to have the iPad reorder them for you. Use the Contact Omni entry under the gear menu (or email omnifocus-ipad@omnigroup.com) to request one.

It is possible to rearrange the items by hand. Tap the Projects (or Contexts) button in the sidebar and drill down to the appropriate level. Tap the Edit button at the top of the screen, then use the drag handles at the right end of each row in the sidebar to reorder your projects/contexts. Tap the Done button when finished.