Brian Moran is in an awkward position. As head of the Democratic Party of Virginia (DPVA), he is working to retain a narrow majority in the state Senate this fall and to re-elect a Democratic president next year in a swing state. But as acting head of the Association of Private Sector Colleges and Universities (APSCU), his group is directly at odds with the Obama administration, which is trying to push new regulations on for-profit colleges. Mr. Moran’s group last week filed suit against the Obama administration. And it’s making some state Democrats uncomfortable. “It strikes me as very odd...