I can figure this out in my head, so can I give a suggestion? You place chests with storage inside, then use a funnel (1.5) and wire it so you have lots of storage. Also, use water at the bottom so it comes out to the player?

I don't understand why you have the unnecessary redstone inside. you simply could have had the block with the button on it, redstone behind it going into a block with a torch on it, and the dispenser above that. when you turn it off, it would dispense when the button extends. I personally think you did the inside the way it is because either A: you aren't good with redstone, or B: you wanted to make it look complicated?