The Merriam-Webster dictionary defines the word as follows:
Main Entry: mod·er·a·tor <INPUT class=au title="Listen to the pronunciation of moderator" onclick="return au('modera06', 'moderator');" type=button itxtvisited="1">
Pronunciation: \ˈmä-də-ˌrā-tər\
Function: noun
Date: circa 1560
1 : one who arbitrates : mediator
2 : one who presides over an assembly, meeting, or discussion: as a : the presiding officer of a Presbyterian governing body b : the nonpartisan presiding officer of a town meeting c : the chairman of a discussion group
3 : a substance (as graphite) used for slowing neutrons in a nuclear reactor
Please read #2, especially #2b and #2c. Please don't forget to reflect on the word "nonpartisan".
Now that you are clear on the definition, the duties of a moderator are guided by the Administrators as to what his/her role will be, and how to best implement the policies of the website.
Any other questions? 