I am wondering if you really need that IssueTypeColor model, you can just add TypeColour attribute to IssueType.
In the case you want to use the two models, your relation is really one to many, so you would need:
IssueType :belongs_to ....
IssueTypeColour :has_many ...
I would recommend you this link:
http://guides.rubyonrails.org/association_basics.html
There you will find a detailed explanation.