The present invention relates to a method for forming a bi-layered carpet underlay. More particularly, the method includes bonding a layer of non-woven fibers and a layer of re-bonded foam particles together to form the bi-layered carpet underlay. The layers of the carpet underlay can be bonded together with the use of adhesives, by heating a surface of one or both layers to a soft bondable state for lamination between the layers, by applying a film having adhesive surfaces between the layers, or by other suitable bonding means. The bi-layered carpet underlay combines the soft cushioning resilience of foam with the high durability bridging ability of fiber to provide a carpet underlay that maintains its height or thickness and firmness, while imparting softness and cushioning effects over an extended period of wear.