Since talking more publicly about our plans for a local (eastern suburbs Melbourne Australia) citizen content news site we have received many emails and calls from people elsewhere around the country telling us to make it national. They get the citizen journalism mantra but not the local focus.
For any citizen journalism project to work there has to be community engagement. This is what will make the decision for us. It may be that we start with a broader focus since this is where there is more interest and provide local links from that broader perspective.
The more people who tell us what they want the better the opportunity for us to get it right.