First, a warning:
All this stuff is extremely alpha! So much so that I fixed a few major bugs literally while writing this article. It's barely been tested by me, let alone anyone else. Some things will likely not work right.
As always, you can help by playing with stuff and reporting the results to me, as directed above.
So, what's story moderation all about? Well, basically, anyone in the world can submit a new story they think should be posted here. That's the "submit story" button on the top and bottom of the page. When they do, it goes into a queue with any other stories that have been submitted.
If you're a logged-in user, you'll see a box on the right labeled "admin tools." The only option in here currently is "Moderate Submissions." When you click on this you'll see a list, newest to oldest, of all the submitted stories in the queue. Click on the title of one, or the "vote" link next to it, and you can read the submitted story, and cast your vote as to whether to keep it or dump it. Each user gets one vote, either plus one or minus one. You can also post a comment explaining why you voted the way you did.
Once your vote has been counted, you can see what the current score of the story is, who else has voted (and what their vote was), and any comments they posted about their vote. You'll also see your vote here, obviously. You can come back and see the progress of a submitted story at any time.
If enough people like a submission, and vote for it, it'll get posted automagically to the front page. It's as simple as that! If enough people dislike it, it'll disappear from the queue list.
Story Mod is the only real innovation in this release. The rest of the stuff is pretty self-explanatory, I think. Try it out, set your user prefs, have fun! That's what we're here for, after all.