It's pretty simple. It iterates over every loaded chunk, randomly selects a couple, and marks them for tree propagation. If any chunks have been marked for propagation, it grabs a random tree from that chunk and tries to spawn a new tree of the same type within 12 tiles of it.
Right now there isn't a way for a player to influence it in-game. This was made to somewhat mimic natural forest growth while still being somewhat useful.
Currently this happens every 12500 to 25000 ticks, or half-day to full day. I'm working on a version that is more configurable, and will allow other entity types to be registered either in configs or at runtime.