Went this summer
Just went there this past summer in July. Hot and dirty as hell, but truly fascinating. Be prepared for chaos, dirt, and people everywhere. You won't want to spend much time in Delhi. We had 1.5 days there and that was plenty in my book. At least in December the weather will be a lot more pleasant. I have heard good things about Goa. I would fly from Delhi to Goa if you have rugrats. Otherwise the train isn't too bad as long as you go first class. Train = just slow. Delhi - Goa is far though so you really will want to fly.
The food is great, just pick nice restaurants = cleanish. We didn't get sick in the 2 weeks there, but weren't exactly eating street meat as we did in Thailand.
Definitely go. It will be really interesting especially since you have the major local party going on. Local experiences/people/connections always makes traveling more interesting.
My $.02
He who has the most fun wins!
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