6 months and 2k miles later.
Think I got it all sorted out. I have replaced a crap load of various parts.
The previous owner 'CementPreCast'? was a complete moron when it came to wrenching cars. When they replaced the turbo they left out all but one copper washer that they had reused. So getting all the oil and coolant lines squared away was the fun part. The last thing was the back brakes... I was told they had all been replaced. Well, another lie. They were running on just a sliver of pad and had started grinding. Rear brakes on the Audi was a serious pita compared the the Toyota's I have worked on with the same dial in pistons. So right now we are getting close to 24mpg consistently and it's running as I believe better than a 1997 Audi A4 with 170k miles on it should be?

Now just wait for the snow.