I've read Raph Levien's paper on splines (http://www.levien.com/phd/phd.html), and think I mostly understand chapter 8, the nuts and bolts of fitting a piecewise polynomial spiral to a sequence of points.
For the procedure described, the path has to be a loop. Otherwise it has two degrees of freedom too many: the Newton-like process does not affect the tangent angles at the ends.
Ideally, the end angles should be those that minimize the integral over path length of the square of the first derivative of curvature. Maybe that solution is hard to find, and Spiro uses a crude rule of thumb instead. Does someone know?
So I asked Raph Levien.