It states 32 mpg in city & 27 mpg on hwy, but I am not getting anywhere near this!

Neither are we, at best we are averaging 24.1 overall.

I don't think the batteries take the car long enough on slow startups and low speed (less than 20 mph) so took it to the dealer. The looked at me like I was from a different planet and acted incredulous that I could even THINK something would be wrong with a Lexus - shame on me, I should have known better.

Not the best vehicle I've owned, not the best value, and certainly not what was advertized or put forth by the dealer.

There are things you can do to enhance your fuel economy. IE as much coasting as possible and easy on the acceleration. The 400h is designed to give you the performance of a V8 from a V6 if you are not easy on the peddle

I'm getting 28mpg around town....doing the soccer mom thing. It hardly ever goes on the highway. Try feathering the gas pedal on starts. Most of the poor MPG is lost on heavy acceleration from a stop. And as mentioned before, coast on the downhills.