Line cookie sheets with waxed paper. In small saucepan, combine 3/4 cup of the frosting and the candy coating. Melt over low heat, stirring occasionally until smooth. Remove from heat.
With tongs, dip each cookie in melted frosting mixture, coating completely. Lay cookies flat on waxed paper-lined cookie sheet. Let stand about 10 minutes or until set.
Meanwhile, place remaining 1/4 cup frosting in small resealable food storage plastic bag. Cut tiny hole in bottom corner of bag.
On each sandwich cookie, use small amount of frosting to attach chocolate chips for eyes. Cut each gumdrop in half; attach cut sides with frosting to sides of cookie to resemble earmuffs.
Attach small wedge cut from slightly flattened jelly candy for nose. Draw mouth with red decorating gel. Let stand until frosting is set before storing.