Extend OTP on random data? If Alice and Bob both start with a shared OTP $P_0$, which is 256-bytes long, and Alice wants to send a 512-byte message, would it be secure to send the first 256 bytes with standard OTP ((a+b)%256 or the like), then generate another 256 bytes of true randomness ($P_1$), run that through the OTP and send the encrypted form of that. Repeat for the second block of 256 bytes and $P_1$, etc. Bob then decrypts the first 256 bytes with $P_0$ and gets $P_1$ from the second 256 bytes. Rinse and repeat, etc.

Is this secure from a passive Eve? If not, why not?
No, that doesn't work. OTP is secure because knowledge of the plaintext doesn't give you any useful information about the key. This is because the bits of the key (e.g. $P_0$) are never used to encrypt anything else.

If you would somehow reuse the key then leakage of the plaintext would cause leakage of $P_0$. Leakage of $P_0$ directly leaks $P_1$. I.e. instead of perfect security the information encrypted by $P_1$ is now directly dependent on the security of the plaintext and $P_0$.

OTP is only perfectly secure as long as the bits in the key stream are independent of each other. OTP doesn't allow for shortcuts in that respect.