This is going to be my last post in this thread. So I'm gonna get this all off my chest while I'm in the mood.
Arshes, Witchie, et al.: I give you credit and support for coming forward when you felt threatened by Dragoneer and saying "We will not be treated like this." I support your decision to hold Dragoneer accountable for his actions instead of just letting him get away with treating you like garbage, and I also support your decision to formulate an administrative strike should circumstances push you towards that action. The admins who do their jobs deserve to keep them, and said admins don't deserve to be treated like trash just because you speak up when you take issue with something other admins or Dragoneer have done. Keep up the good work keeping this site going.
Yak: PR is not FA's biggest problem. A hugely-flawed code base, a less-than-transparent administration, and an overall atmosphere of "sorry, we'll do it later" are FA's biggest problems. If you can't understand that, then maybe you should just stay the hell out of the discussion until you can.
Dragoneer, I saved you for last. You don't deserve all of the blame for things that are going wrong with FurAffinity - after all, you inherited bad code, bad admins, and a host of other problems from Jheryn when you took over. But now? FurAffinity is your responsibility. You own the site, you run the site, and in the end, the success or failure of the site falls upon you to handle. Silencing criticism, threatening admins, and trying to keep every last little problem hidden away under a veil of secrecy is not helping you turn the site into a success. Keeping around a group of administrators who have not regularly worked to help resolve issues on the site in months - or, in some cases, years - is not helping those administrators who are working to keep the site going as smoothly as possible.
You need to quit worrying about hurting feelings and looking bad, because you're never going to have a 100% approval rating no matter how hard you try; when it comes to running FurAffinity you need to act in the best interests of your site. If firing a lazy admin is in the best interests of FurAffinity, fire them even if they're a friend. If a coder refuses to work on the code of the site and make the site run better, fire them even if they're your family. If something fucks up with the site, let the userbase know as clearly and openly as possible even if it's embarassing to you and the admins/coders. If someone criticizes you for something you've done (regardless of whether or not you deserve it), don't try to bully them into silence when you know such a move will just cause more drama.
Everyone makes mistakes, Dragoneer. I've made a shitton of them in my nearly 30 years of life - for God's sake, I'm posting here, aren't I? - but I've done my best to own up to them and admit when I've fucked up. It's time for you to start doing the same. You need to admit publicly and openly to the entire FA userbase that you fucked up in this situation, you need to publicly and openly address the moderation staff and actually say "I'm sorry" for the threat, and you need to start trying to kill off the site's dead weight in regards to administrators and coders.
There are plenty of people who use this site that would be willing to help you make this site a better place - for free, in many instances. If you would just accept their help instead of acting like they're trying to stab you in the back and usurp your throne simply because they don't kiss your ass and agree with every little thing you do, this site could probably be many times better in just a few months.
You're the owner and head administrator, Dragoneer. You have responsibilities not just to the site, but to its userbase. Start living up to them.