In a large mixing bowl, combine flour and salt. Using a pastry blender (or two knives), cut the butter into the flour so that the butter is the size of small peas. Then use your hands to further break up the butter until the consistency of the mixture becomes more mealy.
Add 1/4 cup of the ice water and combine with the flour mixture. Keep adding water, a tablespoon at a time, until the dough comes together in a ball without crumbling, but is not sticky. You probably won't need all the water. If it is too sticky, add more flour. You won't be able to work with it if it's sticky.
Turn the dough out onto a floured surface to gently knead until it comes together.
Wrap in plastic and chill for at least 60 minutes and up to a day in advance.
While the dough is chilling, prepare your sheet pans with parchment paper. You will need two pans for this recipe. Preheat oven to 375 degrees.
Place the chilled dough on a lightly floured surface and cut into two halves. Working with one piece at a time, roll out the dough into a 12 inch by 11 inch rectangle. Using a cookie cutter or the top of a cup, cut out 6 circles, 4 inches in diameter. Place the circles on the sheet pans. Repeat with the second half.
Gather all the scraps of leftover dough into a ball. Roll out into another rectangle until it's about the same thickness as the cut circles. Cut out another 7 circles. Keep repeating this until all the scraps are pretty much used up. You should get about 20 circles total.
Place a tablespoon of preserves into the center of each circle. Beat a large egg with a teaspoon of water. Brush the edge of half the circle with the egg mixture. Fold the dough in half over the preserves and seal together using the tines of a fork. Brush the tops with the same egg mixture.
Using a small pairing knife, cut a small slit in the center of the pocket. This helps the steam escape during baking.
Make sure the pies are spaced about 1.5 - 2 inches apart. Bake in preheat oven for 30 minutes. You may have to do in two separate batches.
While the pies are baking, mix the powdered sugar and milk together in a medium bowl to make the icing.
Once the pies are done baking, let them cool for 5 minutes. Then, when still warm, dip the pies top side down into the icing to coat the tops of the pies completely. Place back on pan to let them set for 10 more minutes.