Well, the tests showed the current going up the one block and coming back to down to the transformer. The transformer has two outgoing three wire feeds, one going East, one going West. One feed for a block. Neutrals tied together on a j-bar at the center tap. A jumper was run from the first handhole N to the transformer N (to test for a problem between the transformer to the first house - or the last house for the N current depending on how you look at it) and it had no impact. Current still running down the water pipe up the next block and swinging back to the N j-bar from the other blocks feed.
Our water main is presenting itself as an incredibly low impedance path where N current is dividing anywhere from 30-50 percent onto the water pipe path.
Kind of perplexing, really. But it all has tested out OK.