Tear two sheets of waxed paper or plastic wrap into 1 foot long pieces. Mix 1/3 cup sugar and food coloring together and sprinkle half onto each strip of paper. Set aside. Bring butter to room temperature. Mix by hand the butter, flour, vanilla and 1/3 cup sugar until it is well mixed together and forms a soft ball of dough. Divide in half. Roll each half into a log 2" in diameter. Smooth the sides to form an evenly formed log, flattening the edges slightly to make it a rectangle if that is easier. Roll in the colored sugar until all sides are coated. Wrap in the paper. Repeat with the remaining dough. Refrigerate at least an hour, up to a day, or freeze for later baking. Preheat oven to 375ºF.  Slice the logs into 1/8" slices and place gently on a lightly greased cookie sheet. If any sugar remains in the paper, sprinkle on top of the cookie dough. Bake 10-12 minutes until the cookies are a light brown. Let cool a few minutes, then carefully transfer to a cooling rack to finish cooling. Makes 5 dozen cookies.