Hi @Leafmire, good find! I’m sorry this isn’t working as you’d expect.
Given your pictures and exploring the 3D Models Coloring sandcastle myself I believe this is an actual bug when the alpha value is less than 1. I’ve opened this github issue to track that. In the meantime I’d suggest setting the alpha value to 1 if you don’t find that too obtrusive to the view as that seems to still work as intended.
A small aside: This does not happen when the alpha value for the model color is also set to non-1.0. So even when the model-color Alpha is 0.999, it does not paint the model in red.
But … the difference between 0.999 and 1.0 is (visually) much larger than it should be. Not sure whether this is related…