The trouble is proper moderation abilities require a fair amount of development to the boards. It isn't easy to just say give player x N powers. The powers may not exist at all, or as kynte said you have to be very careful with who you give powers to. There has to be some way to keep mods accountable. My suggestion is to create a report/trash/etc forum hidden to all but mods/admins that a mod could move a thread (ideally just a post) to. That way nothing is lost (Fizzer could easily undo it), but would allow for the general public not to see inappropriate content.
Other tools could be developed as needed over time, but a one way move for current mods would suffice to prevent legal issues while also keeping some transparency. That way mods don't go on a power trip without Fizzer knowing.
Honestly, I think forum software is a solved problem. Fizzer doesn't have to re-invent the wheel. There are several good forum packages out there, all free, AFAIK. Again, use other healthy forums as guidelines. BTW, I was going to suggest a hidden forum or hidden post state as well, but you and others have beat me to it. You can also have different levels of moderators. Again, there are tons of good forums out there that handle stuff like this all the time, on a volunteer basis. It's really a doable thing, IMHO.