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["Whisk together the flour, powdered sugar, and salt in a large bowl.", "Cut in the butter until mixture resembles pea-sized crumbs.", "Add the water, 1 tablespoons at a time; toss with a fork until dough holds together.", "Divide dough in half; cover and refrigerate until firm, at least 30 minutes.", "Meanwhile, melt the caramels and milk together in a saucepan over low heat, stirring constantly; stir in coconut.", "Remove pan from heat; cool.", "Working with 1 portion of dough at a time, roll out on a lightly floured surfact to 1/8"" thickness.", "Cut with a 3"" round smooth or scalloped cookie cutter.", "Gently reroll trimmings and cut to make more cookies.", "Preheat oven to 400*F. Line 2 cookie sheets with parchment paper.", "Beat the egg and water in a cup; set aside.", "Place 1/2 teaspoons caramel mixture in the center of each cookie; moisten edges of dough with the egg mixture.", "Fold dough in half; firmly press edges together to seal.", "Place cookies on the prepared sheets; brush with egg wash. Cut 3 slashes across the top of each cookie with the tip of a knife.", "Bake 15-20 minutes, or until golden brown.", "Transfer cookies to wire racks and cool completely.", "Store airtight at room temperature."]
