Signalfade

Allow the public to submit information to your site with embeddable, configurable forms. Then you can moderate the posts created by this form.
Embed the form in a page with [psc_show_form id=”#”]<code>or</code>[psc_show_form slug=”string”]`.
<h3>Features</h3>
<ul>
<li>Forms are publicly accessible.</li>
<li>Optional <a href="http://recaptcha.net" title="reCaptcha" rel="nofollow ugc">reCaptcha</a> integration.</li>
<li>Image upload functionality available.</li>
<li>Posts can default to “pending”, “draft”, or “published”.</li>
<li>Posts can default to any category currently set within your wordpress install.dpress install.</li>
</ul>

Publicly Submitted Content

Allow the public to submit information to your site and then you can moderate it.

eiffel777

Community Submitted News plugin is a plugin that let your users submit articles to your site. Most places can 
only turn out so many new articles/posts a week. Community Submitted News lets you allow your readers to add 
articles to your site. There is a full moderation panel. No story will be fully published until you allow it to 
be published. All articles are initially put in their own category for easy seperation from other content.
Community Submitted News has the following features
<ul>
<li>Moderation Panel – Submissions are not displayed until you allow them</li>
<li>Add submission form to single page or post</li>
<li>Capthca Image</li>
<li>Seperate category for all submissions</li>
<li>Edit submissions before and after approval</li>
</ul>
Leave comments/suggestion for this plugin <a href="http://studioslice.com/2010/04/18/community-submitted-news-ver-11-is-out/" rel="nofollow ugc">here</a>. I would love to hear from you.

Community Submitted News

This plugin allows you to let people submit stories/posts to your site and lets you control what is displayed

Publicly Submitted Content vs Community Submitted News