Generate reads random bytes in the browser and maps them onto the character sets left on. Each enabled set contributes at least one character. The rest of the length is filled from the combined alphabet, then the characters are shuffled.
Reproducible mode stays off until you check it. That mode hashes a seed you type and may place the seed in the address so the same password can be rebuilt. Anyone who can see the seed can rebuild it, so that mode is not a secret. The password text itself is still kept out of the address.