What happens to current moderators? I can see only one nomination. Does that mean that the site will only have one moderator?
The current election is for further moderators. When the site went live, three moderators were elected by the community (Kiamlaluno, Googletorp, and tim.plunkett). Now the site is growing, it's been decided that 5 moderators is a better amount. The current election is to appoint the two extra moderators to bring the total for Drupal Answers to five.
All current moderators will keep their titles. Let's be honest, this place would be a pain without people like Kiamlaluno :).
Here is the original discussion: Do we need more moderators?
Posting my comment as answer - bad moderator habit to comment on things ;)
When you are assigned as moderator by the community - it's more or less a permanent title. The election is for new moderators the old ones like myself, kiam and tim will remain moderators.