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I suspect UTF uses "Set Scope", which is a separate method that doesn't do the propagation. The UTF authors may have written their own propagation loop. You could use the same workaround (I acknowledge how annoying that would be to write, but at least the option exists). BTW, looking at code, turns out that the "And Propagate" version was written to always prompt. That's how the Library Properties dialog works. On my machine as of this morning, there's a new Boolean parameter to "skip prompt" on that method.

If your front panel is broken up into panes (which I think would help you if it was) then you can also set the color of the pane programatically with the Pane Color property.