Still reading the newspaper with no glasses. We would be sitting here and looking out the window, and she would be able to see the planes in the sky, and I’m like ‘Where?’,” Frazier said.
Is the comma in Where?’," necessary?

Yes. That's US style, by the way. You have to use a comma with a dialogue tag. The question mark is isolated by the single quotation mark and can't serve to terminate Frazier's utterance. It is a rather unfortunate cluster, though, isn't it? I'd be inclined to find a way around the dialogue tag altogether, especially considering that it ought to be made clear at the outset that we are reading what Frazier said and not save that information for a surprise at the end.