I personally think you can do without the dining package, as I never have done the dining package myself and used to be able to get the second show standby. We have to see how things work out this year though.
I recommend booking some dining reservations just in case, see what the procedure ends up being, read reviews about the procedure, then cancel the reservations if you don't need them.
For me, if I can't see Fantasmic standby for the second show, I am just not going to see it this summer. On this particular trip, it's not worth the price of a dining package to see the show. I might feel differently on a future trip.
Second show of WOC you will be totally fine with the VQ. Try to get there right when the first show ends. Look for the front rail of any section. The viewing area for WOC is terraced, so each section back is higher then in front. There's rope or railing separating each one. The front will prevent someone taller from blocking you.