In a progressive set-up children with special needs:

Progressive education advocates that young learners should be given the freedom to learn according to their preferences and likes

Important Points

•  Based on the belief that education should primarily serve the needs of children and focus on understanding, action, and experience rather than rote knowledge and memorization.
• Children with special needs are taught along with other children while making special provisions for their needs.
• Special education is individualized education for children with special needs. Special education means, “Specially designed instruction, to meet the unique needs of a child with special needs including instructions conducted in the classrooms. 
• A free and democratic atmosphere should be provided in the classroom for the proper development of an individual. 

Hence, children with special needs do not have to always study in a separate institution In fact, most of them can learn quite well in general classes of a school. 

Thus from the above-mentioned points, it is clear that in a progressive set-up children with special needs are taught along with other children while making special provisions for their needs.