One of the things I've been asked a few times in the last few weeks is about moderation programs. My view is pretty simple - the people who should be moderators identify themselves. You can see them take ownership and pride in the space. The harder thing to understand is that not everybody who is a moderator should be. And not everybody who wants to be a moderator should be. In fact, the people who want it most probably shouldn't be. But you can see them pretty clearly if you look.
The next thing about moderators is to be careful how you reward them. Converting a volunteer mod into a paid mod is a terrible idea because they will be much happier if they are with intrinsic motivation. By making it work, it's less fun. A better idea is to give them surprise rewards, behind the scenes privileges, and positive honors. The happier they are, and more appreciated they feel, the more they will do. It's a virtuous cycle that costs the CM a little more in time, maybe, but next to nothing in actual money.