How do Orthodox Jews born in Israel deal with mental or physical disabilities? At home and in the community?

I don't know about Orthodox Jews specifically born in Israel, but I know for a fact in New York (where I am), there are quite a few organizations, homes and schools for children and adults with physical and mental disabilities. In fact my daughter works as a res hab counselor for 2 children, one with physical disabilities only and one with Down's syndrome. Most parents that I've seen with children with these problems either keep them at home and get as much care as they can for them, or place them in a home which provides full care keeping within the confines of the Jewish Law, but of course always keeping in contact with them. I happen to work for a doctor who takes care of alot of these kind of patients and they are very much accepted in the community. They are taught if possible how to survive in the community. Taken on outings, shopping (taught how to use money, choose appropriate products, etc)

I hope this helps.