from Smuggler's Cove
Bring the water to a boil in a saucepan over high heat. Add the sugar and stir with a whisk until dissolved, about 1 minute (the water should become clear such that you can see the bottom of the pot). Immediately remove from the heat. halve the vanilla bean pods lengthwise and scrape the seeds into the syrup. Cut the scraped pods into thirds and add to the syrup. Stir well. Cover and let sit at room temperature for 12 hours. Strain through cheesecloth into a bowl and then pour through a funnel into a lidded bottle or other sealable container. The syrup will keep, refrigerated, for several weeks.